Businessmirror May 31, 2019 by BusinessMirror

More sensational Brio see pages e2-e3

motoring

DEPT. OF SCIENCE AND TECHNOLOGY

PHILIPPINE STATISTICS AUTHORITY

2018 BANTOG DATA MEDIA AWARDS CHAMPION

BusinessMirror A broader look at today’s business

www.businessmirror.com.ph

Friday, May 31, 2019 Vol. 14 No. 233

Seipi: CIT shift means 80% operating cost hike By Elijah Felice E. Rosales

@alyasjah

EMICONDUCTOR firms on Thursday said their operating cost will increase by as much as 80 percent if they are stripped of their tax incentives under the government’s rationalization plan. In a news briefing, Semiconductor and Electronics Industries in the Philippines Foundation Inc. (Seipi) President Danilo C. Lachica said industry players prefer to pay higher tax on gross income than to transition to corporate income tax

(CIT). He said a shift to 18-percent reduced CIT will raise the operating cost of semiconductor firms by as high as 80 percent. This is in contrast with a 7-percent tax on gross income, from 5 percent, that will only result in 40

percent additional cost, according to Lachica. “The proposal today is to go from 5-percent GIE to 18-percent net CIT. That is on the average about 60 percent to 80 percent—depending on the company’s operation—increase

$8.84B Exports of electronic products in the first quarter, a decline of 1.55 percent from $8.98 billion during the same period last year, according to PSA data

in operating cost,” Lachica said. Locators, including semiconductor exporters, are bound to lose their incentives under the Tax Reform for Attracting Better and High-Quality Opportunities (Trabaho) bill. Specifically, economic zone firms will relinquish their 5-percent gross income earned (GIE)

Duterte: ‘Serve your country well, and die for it if need be’ Manny F. Dooc

TELLTALES

‘W

E are no rubber stamps” read most newspaper headlines last week. This was the collective assertion of the newly elected senators of our Republic. Senate President Tito Sotto also echoed this sentiment. We expect no less and we shall be watching. Public servants live in a fish bowl where the public keenly observes their every move. Continued on A10

See “Seipi,” A12

Fuel costs unbundled soon with DOE order

“From 2014 to 2018, Peza companies purchased a total P1.34 trillion, or an average of P269.09 billion per year, from the Philippine domestic market. These huge figures manifest in real terms the backward linkage of our Peza companies to the Philippine domestic economy.”—Plaza

in real terms the backward linkage of our Peza companies to the Philippine domestic economy,” she pointed out. Firms operating in economic zones are provided income-tax holiday for six years for pioneer activities and four years for nonpioneer. Upon the expiry of their ITH, they shift to paying 5 percent on gross income in lieu of all local and national taxes. They are also allowed to import duty-free raw materials, capital equipment, machineries and spare parts, as well as to purchase at zero VAT local goods and services, subject to compliance with government requirements.

‘Trabaho’ bill

THESE incentives are on the chopping board under the Tax Reform See “Peza,” A2

PESO EXCHANGE RATES n US 52.3820

BUSINESS NEWS SOURCE OF THE YEAR

P25.00 nationwide | 6 sections 38 pages | 7 DAYS A WEEK

Peza chief makes case for why locators deserve to keep their tax perks

HY rationalize tax incentives? Firms operating in economic zones made domestic purchases of P269.09 billion annually that boosted the capital and capacity of local manufacturers, according to the Philippine Economic Zone Authority (Peza). In a speech at the 24th Peza Anniversary and Investors’ Recognition Night on Wednesday, Peza Director General Charito B. Plaza said many local firms make a living out of purchases from locators. She argued this is a manifestation of the Peza’s contribution to domestic industries. Between 2014 and 2018, economic zone firms bought a total of P1.34 trillion, or an average of P269.09 billion yearly, from local manufacturers. “Peza companies have created a booming domestic industr y through their local purchases of equipment and raw materials for their manufacturing, assembling and processing activities. For the past five years from 2014 to 2018, Peza companies purchased a total P1.34 trillion, or an average of P269.09 billion per year, from the Philippine domestic market,” Plaza said. “These huge figures manifest

2017 EJAP JOURNALISM AWARDS

By Lenie Lectura

of end-March 2019 to 52.098 as of end-April 2019,” BTr said. However, from the end-2018 level, the Treasury said NG debt increased 6.8 percent or an addition of P494.31 billion of loans. T h e d a t a a l s o s h o w e d a 13.3-percent increase in NG debt, from P6.87 trillion in April 2018. This represented an additional

DIRECTIVE for oil companies to unbundle their fuel cost will take effect soon a f ter Energ y Sec ret a r y Alfonso Cusi signed last Tuesday a department circular on the Revised Guidelines for the Monitoring of Prices in the Sale of Petroleum Products by the Downstream Oil Industry in the Philippines. DC 2019-05-8 states that for every price adjustment of petroleum products, oil companies must comply with the submission of the detailed computation with corresponding explanation and supporting documents on the reasons of the movement. In particular, oil firms —which have been opposing the DOE move—must unbundle their fuel cost with the following details: ■ International content, which makes up import cost, freight cost, insurance and foreign-exchange rate. ■ Taxes and duties, which include excise tax, value-added tax, duties and other imports.

See “NG,” A2

See “DOE,” A2

PRECAUTIONARY MEASURE A man inspects various canned meat products displayed at a supermarket in Makati City. The Food and Drug Administration (FDA) ordered the recall and seizure of canned meat products from countries struck by the dreaded African swine fever, which could be transmitted through nonliving objects, such as shoes and knives. The National Economic and Development Authority said, however, that the recall will not cause an uptick in inflation. NONIE REYES

NG end-April debt down to ₧7.79T on peso rise By Cai U. Ordinario

@caiordinario

HE peso’s appreciating resulted in the decline in the national government’s (NG) outstanding debts as of April this year, according to the Bureau of the Treasury (BTr). In a statement on Thursday, the BTr said the outstanding debt

reached P7.79 trillion as of endApril 2019. This was P15.45 billion or 0.2 percent less than the P7.8 trillion posted in the previous month. Of the total stock, BTr said 33.2 percent were sourced from external markets while 66.8 percent were borrowed domestically. “The peso appreciated against the USD [US dollar] from 52.629 as

@llectura

n JAPAN 0.4780 n UK 66.1585 n HK 6.6739 n CHINA 7.5773 n SINGAPORE 37.9387 n AUSTRALIA 36.2326 n EU 58.3169 n SAUDI ARABIA 13.9686

Source: BSP (30 May 2019 )

News

BusinessMirror

A2 Friday, May 31, 2019

www.businessmirror.com.ph

NCR consumers biggest spenders in ’18–PSA

By Cai U. Ordinario

@caiordinario

ETRO Manila residents spent the most on consumer goods and services in 2018, according to the latest data released by the Philippine Statistics Authority (PSA) on Thursday. In a statement, newly appointed National Statistician and Civil Registrar General Claire Dennis S. Mapa said Metro Manila remained

the highest spending region and spent P1.43 trillion in 2018. The national household spending was at P6.31 trillion during

the period. This was based on data from the Gross Regional Domestic Expenditure (GRDE). “GRDE is defined as the expenditure of residents of the region in the domestic territory plus their expenditures in other regions including the rest of the world,” PSA explained. Household Final Consumption Expenditure (HFCE) in National Capitol Region (NCR) increased 4.25 percent from the P1.37 trillion posted in 2017. Apart from the NCR, Calabarzon and Central Luzon were also top spending regions with P1.034 tril-

‘More funds from sin tax should benefit universal health care’ Continued from A12

The minority leader pointed out that funds expected to be generated under the new measure, estimated at around P15 billion, “would not even be enough” to support the UHC program. He noted a report issued by the Department of Finance (DOF) that the UHC program would need at least P257 billion for the first year of implementation, with P195 billion to be provided for in the General Appropriations Act. “Given the huge funding requirement of the UHC program and other health needs of millions of poor Filipinos, we h ave to pr ior it i z e a nd make clear in the law where these new funds we expect to raise will go. The health of our people should be our No. 1 priority,” said Drilon. The senator acknowledged that his proposal, in effect, would freeze the entitlement to the sin tax law of tobacco-producing provinces under Republic Act (RA) 7171, which provides that local government units that produce Virginia-type cigarettes would receive 15-percent share of the tax collection. But Drilon promptly clarified “the allocation due to these tobacco-producing provinces under the current law will not

NG. . .

Continued from A1

P912.1 billion in debts compared to last year.

Domestic debt

BTR said the government’s domestic debts reached P5.21 trillion, higher by P8.55 billion or 0.2 percent compared to the end-March 2019 level. “For April, net issuance of government securities amounting to P8.82 billion brought the increase in the level of domestic portfolio while P0.27 billion was trimmed due to revaluation of onshore dollar bonds due to peso appreciation,” BTr explained. BTr added that the NG’s external debt of P2.58 trillion is P24 billion or 0.9 percent lower than the previous month’s level.

SOT bill. . .

Continued from A12

51 both failed to stop contractualization and instead continued the failed policy of only regulating manpower agencies through licensing and higher capitalization requirement, which are easily circumvented by both agencies and employers,” Adonis said. “And now, with the soon-to-be Security of Tenure law, these policies that perpetuate employment through manpower agencies are becoming a full-fledge law,” he added.

be affected.” According to Drilon, there appears to be “inequitable and grossly disproportionate” terms of the value of the Virginia leaf tobacco and native tobacco being produced by the provinces and their allocation under RA 7171. He cited a report by the Action for Economic Reforms based on the 2017 General Appropriations Act shows that while the value of tobacco production is at P3.8 billion, the earmarked funds amount to P14.4 billion under RA 7171 and P3.61 billion under RA 8240, or a total of P18.01 billion. “Tobacco excise tax collection allocated for the tobacco-growing regions is more than four times bigger than the value of tobacco production in 2017,” said Drilon, even as he lamented the tobacco farmers “remain among the poorest” in our country today. The Senate minority leader aired hopes “that this inequity will be addressed in the next Congress.” At the same time, Drilon cited a 2016 Commission on Audit Report, which shows the irregularities in the utilization of tobacco excise taxes under Republic Act 7171. “This finding of COA is just the tip of the iceberg. I am sure

Lower external debt for the month was due to the downward adjustments of both USD and third-currency denominated debt amounting to P26.29 billion and P0.28 billion. This offset the net availment of foreign loans amounting to P2.57 billion. Meanwhile, total NG-guaranteed obligations increased by P3.32 billion or 0.7 percent month-onmonth to P482.98 billion in April. This was due to the net issuance of both domestic and external guarantees amounting to P6.44 billion and P0.24 billion, respectively. However, this was tempered by the downward adjustments on both peso- and third-currency denominated guarantees which were trimmed P2.91 billion and P0.45 billion, respectively. From the end-December 2018 level, total NG-guaranteed debt has declined by P4.60 billion or 0.9 percent. Adonis accused big employers of trying to railroad the Senate version. “Their lobby efforts seem to be paying off with the Senate unanimously approving an obviously watered down version of the bill,” he said. “The labor sector is united in rejecting this version of the SOT bill. We continue to call for the passage of a genuine Security of Tenure law that will prohibit job contracting through third-party agencies, which has long been an instrument of employers in evading the regularization of their workers,” Adonis added. Bernadette D. Nicolas

that a deeper examination of these funds would reveal more,” said Drilon.

Plan for farmers

SENATORS are urging the DOF to submit concrete plans for tobacco farmers expected to be affected by the imposition of higher cigarette tax rates. In the midst of plenary debates on the sin tax reform bill, Sen. Richard Gordon observed there appeared to be insufficient study and planning to cushion its impact on the livelihood of tobacco farmers. He pointed out that imposing higher taxes on locally produced cigarettes could trigger smuggling of cheaper cigarettes, affecting the sale of locally produced cigarettes. For his part, Drilon deplored that local tobacco farmers were not getting their share from the so-called sin taxes. He noted that under the Sin Tax Reform law, 85 percent of the tobacco tax collected was earmarked for the government’s health insurance program and 15 percent for tobacco farmers. Drilon wondered where the 15 percent went, noting that farmers in the tobacco raising regions remain poor.

Peza. . .

Continued from A1

for Attracting Better and High-Quality Opportunities bill. The Trabaho bill seeks to gradually reduce corporate income tax to 20 percent by 2029, from 30 percent, and introduce a new menu of incentives. The Peza, as well as its locators, are strongly opposed to the measure’s component of incentives rationalization, as this could compel economic zone firms to relocate to another Southeast Asian country with more competitive tax perks. “In addition, a very significant forward linkage has been established resulting from the activities of Peza registered companies,” Plaza said. “Pockets of development were created in different regions of the country through the creation and expansions of different types of economic zones, most noteworthy of which are the creation of information-technology [IT] parks and buildings not only in metropolitan areas, but in emerging cities and municipalities as well.” As of last year, there are 395 economic zones operating in the Philippines, of which 277 are IT parks and centers, 74 are manufacturing, 22 are agro-industrial—mostly in Mindanao—19 are tourism and three are medical tourism. Locators directly employ 1.5 million workers, most of which are in the semiconductor industry. However, economic zone firms provide direct and indirect employment to 7.54 workers when the multiplier effect of their industries is taken into account, according to Plaza. Elijah Felice E. Rosales

₧1.43 trillion

Amount spent by Metro Manila residents on consumer goods and services, per newly appointed National Statistician and Civil Registrar General Claire Dennis S. Mapa lion and P810.3 billion, respectively. HFCE spending in Calabarzon grew 5.9 percent in 2018 while in Central Luzon, spending grew faster at 6.8 percent last year.

“HFCE covers both individual and institutional households, as well as nonprofit institutions serving households [NPISH]. It is assumed that the structure of NPISH and institutional households is the same as that of the i nd iv idu a l hou sehold s,” PS A said. Meanwhile, Central Luzon percapita household spending posted the highest expansion in real terms at 5.3 percent in 2018. It was followed by Cagayan Valley and Bicol region with 5.2 percent and 5.1 percent, respectively. The following regions recorded

accelerated growths in their percapita household spending in 2018: Central Visayas, 4.5 percent; Ilocos region, 4.5 percent; Zamboanga Peninsula, 3.8 percent; Caraga, 3.4 percent; and Cordillera Administrative Region, 2.9 percent. The remaining regions exhibited decelerated growths: Mimaropa, 5.0 percent; Davao region, 4.9 percent; Calabarzon, 4.0 percent; Western Visayas, 3.9 percent; Eastern Visayas, 3.8 percent; NCR, 3.2 percent; Soccsksargen, 3.2 percent; Northern Mindanao, 2.3 percent; and ARMM, negative 0.4 percent.

House to summon ‘Bikoy,’ FB, YouTube for hosting viral videos

HE House of Representatives will summon “Bikoy” —the hooded self-styled whistle-blower who later claimed he was unleashed as part of an opposition campaign to boost its candidates for the May polls— and look into possible liabilities of social-media giants Facebook and YouTube for hosting highly damaging yet unproven videos. T he v ira l v ideos targeted business and political personalities, including members of the Duterte family, at the height of the midterm elections campaign. Soon after the May 13 polls, however, Peter Joemel Advincula, alias Bikoy, surrendered to the police and claimed he was just promised money to pose as Bikoy, the narrator of the “true narco list” series. Despite admitting that he cannot subscribe to the truth behind the series of preelection socialmedia videos he posted, Advincula, alias Bikoy, may have succeeded in maligning and discrediting the “good name, honor and reputation of the individuals” linked to the viral “Ang Totoong Narco List” series (The Real Drug List), said Ako Bicol Party-list Rep. Alfredo Garbin. Garbin filed a House resolution directing the Committee on Information and Communications Technology to conduct an inquiry, in aid of legislation, on

DOE. . .

Continued from A1

Biofuel cost ■ Oil company take components. Details on port charges, refining cost, storage cost, handling cost, marketing costs, transshipment cost, other cost, oil company profit margin and total oil company price are required to be turned over to the agency. “Within two months after effectivity of this circular or whenever required by the DOE or by the DOEDepartment of Justice [DOJ] Task Force, oil companies shall be required to submit a report to the OIMB [Oil Industry Management Bureau], on a per liter and per product basis for liquid fuel and automotive LPG and on a per kilogram basis for household LPG, containing the detailed computation with corresponding explanation and supporting documents on the unbundled items comprising the oil company price as of December 1, 2018,” it said. The circular will take effect after 15 days from publication. Cusi said these enhancements will provide the DOE and other relevant government agencies with the necessary data to formulate proactive and appropriate policy initiatives for the benefit of consumers and the downstream oil industry. Furthermore, the data provided will support the DOE-DOJ Task Force investigations on reported incidents of anticompetitive behavior. The DOE also wants oil companies to provide a weekly notice of the price adjustments—whether decrease, in-

the Bikoy videos and other widely circulated postings in socialmedia platforms. In the resolution, the lawmaker called for the passage of a measure providing for a “take-down clause” that would allow the government, without a need of a court order, to demand the immediate removal of social-media contents that are libelous, seditious defamatory and/or contrary to any provision of existing laws. Garbin said approval of the bill and similar measures has become imperative in instilling social and legal responsibility on social-media platform creators and operators. He cited the deaths and selfinflicted physical harm on victims of the “Momo Challenge” and “Blue Whale Challenge” among the reasons for the passage of his proposal. Garbin said the Bikoy videos maliciously hurled false accusations against members of Duterte’s family and other personalities, including Elizaldy Co, owner of Misibis Bay Resort, a five-star luxury hotel and resort in Albay. Tagged as leader of an alleged drug syndicate, Co was also accused in “Ang Totoong Narco List Episode 5” of hosting in the popular tourist destination “the central house facility where a shabu laboratory is located.” “Mr. Co is a victim of an unprovoked, unjustified and libelous at-

tack against his honor, character, reputation and decent standing in our society,” Garbin stressed. In the resolution, the solon revealed that with his “good name and reputation” tarnished by the false contents of the social-media posts, Co’s creditworthiness was placed under suspicion by banking and financial institutions. “In fact, one bank, upon learning about the video, immediately suspended the processing of his pending application for a significant amount of loan,” the party-list solon lamented. Garbin noted that Bikoy’s claim against Misibis Bay is clearly negated by the fact that it was chosen by the Association of Southeast Asian Nations (Asean) Committee to be the venue of its ministerial telecommunications meeting. However, the world-class resort “encountered a series of booking cancellations, even on its peak season” as a result of the libelous videos. Garbin stressed that socialmedia platforms such as “Google’s YouTube and Facebook owe it to the public to confirm the veracity of statements and videos posted.” “The social-media platforms need to develop security features and/or filtering practices in order to regulate any unlawful and/or harmful contents posted by their users,” he stated.

crease or no adjustment—not later than 3pm of the day before the implementation day. For LPG, oil firms must notify the DOE not later than the end of every month for any price adjustment or no adjustment. The DOE wants the price adjustment for liquid fuel implemented every Tuesday and every first day of the month for LPG. “Rest assured that the utilization of the data collected will be subjected to the strict confidentiality requirements under the Downstream Oil Industry Deregulation Act, the Freedom Deregulation Act, and the Philippine Competition Commission laws,” said Cusi. The release of the circular should have happened in June last year. However, the agency needed to conduct another round of focus group discussions with the stakeholders.

tionwide. “But there are some things which are proprietary to each oil company which they cannot divulge, the same being trade secrets. Divulging such would mean losing their advantage,” said Ippca President Bong Suntay. Ippca has at least 16 members composed of the country’s leading independent oil players, such as Eastern Petroleum Corp., Unioil Petroleum Philippines Inc., Seaoil Philippines, Flying V, City Oil, Pryce Gases, and LPGMA, among others. PIP Executive Director Teddy Reyes said almost 90 percent of pump price cost components are published and therefore transparent. “As such, information sought by the draft circular may be derived by the DOE without necessarily requiring players’ disclosure of commercially sensitive information. Too much transparency will discourage investing in the country,” said Reyes, adding that local and foreign investors would want a level playing field under a deregulation set up where it’s a market-driven competition. The new policy is pursuant to DOE’s mandate under Republic Act 8479, or the Downstream Oil Industry Deregulation Act of 1998, to monitor both international and domestic price movements of petroleum products. Consumer advocacy group Laban Konsyumer Inc. has also been pushing for transparency in retail prices of petroleum products as part of end-users’ right to information and to provide them access to fair and reasonable pricing of petroleum products.

Oil firms protest HOWEVER, oil firms are opposed to this. In particular, they do not want to reveal the so-called industry take. The Independent Philippine Petroleum Companies Association (Ippca) and The Philippine Institute of Petroleum (PIP) said the oil industry is a deregulated industry. They said that most of the key components of oil price are already public knowledge such as price of crude oil which is published by MOPS (Means of Platts Singapore), carriage price or vessel, insurance and dollar exchange rate are also easily determinable. MOPS refers to the price of finished products such as gasoline and diesel that are sold in pumping stations na-

www.businessmirror.com.ph

The Nation BusinessMirror

‘Communist front’ groups get writ of amparo, habeas data from SC By Joel R. San Juan

@jrsanjuan1573

HE Supreme Court has issued a writ of amparo and habeas data in favor of several cause-oriented groups labeled earlier by the government as fronts of the communist movement in the country. In a resolution made public on Thursday, the High Court gave the government on or before June 13, 2019, to respond through a verified return to the petition filed by Karapatan Alliance Philippines Inc., Rural Missionaries of the Philippines Inc. and General Assembly of Women for Reforms, Integrity, Equality, Leadership and Action (Gabriela) Inc. The petitioners are seeking court protection against threats to the lives, liberty and security of their members through a writ of amparo. A writ of amparo is a remedy available to any person whose right to life, liberty and security has been violated or under threat, while the writ of habeas data is a remedy available to any person whose right to privacy in life, liberty or security has been violated, or under threat by the unlawful gathering of information about the person, his or her family and home. They asked the government to disclose and destroy all files or records gathered against their members through a writ of habeas data. They have named President Duterte, National Security Adviser Hermogenes Esperon Jr., Defense Secretary Delfin Lorenzana, Presidential Spokesman Salvador Panelo, Armed Forces of the Philippines (AFP) Chief of Staff Benjamin Madrigal, AFP Deputy Chief of Staff Maj. Gen. Antonio Parlade Jr., National Security Council Deputy Director General

Vicente Agdamag, Philippine National Police Directorate for Investigation and Detective Management Senior Supt. Omega Jireh Fidel , Palace Undersecretary and Executive Director of the Presidential Task Force on Media Security Joel Sy Egco, Presidential Human Rights Committee Secretariat Undersecretary Severo Catura and Presidential Communications Operations Office (PCOO) Undersecretary for New Media and External Affairs Lorraine Marie Badoy and National Intelligence Coordinating Agency Director General Alex Paul Monteagudo as respondents. “Whereas, considering the allegations contained, the issues raised and the arguments adduced in the petition, it is necessary and proper to...issue a writ of amparo and habeas data,” the Court resolution read. The SC also referred the petition to the Presiding Justice of the Court of Appeals for immediate raffle among the appellate court justices. The petitioners lamented that labeling them as fronts of the communist movement by the current administration has resulted to numerous killings and other human-rights violations against their humanrights workers. The groups cited the killings of its human-rights workers and paralegals from 2002 up to the present administration. The petitioners said from 2001 to 2019, at least 48 human-rights defenders of Karapatan have been killed by state forces. They noted that since President Duterte accused the petitioners of being fronts of the CPP-NPA, several officers and members of the groups have been subjected various forms of threats, harassments and intimidations.

Editor: Vittorio V. Vitug • Friday, May 31, 2019 A3

NPA bomb attack in Bukidnon injures 11, including foreigners

By Rene Acosta

@reneacostaBM

T least 11 persons, including some foreigners on an inspection trip, were injured on Thursday after suspected New People’s Army (NPA) rebels allegedly attacked their convoy escorted by soldiers in Bukidnon. A statement released by the Department of National Defense (DND) said the foreigners were part of a group of observers visiting projects for indigenous people in Mindanao. The statement said that the convoy made up of foreigners, local volunteers and soldiers, was passing at Sitio Nasandigan, Barangay Kalabugao, Impasug-ong, Bukidnon, when rebels reportedly detonated an antipersonnel mine. Quoting Col. Edgardo de Leon, commander of the Army’s 403rd Brigade, the DND said that among those hurt were seven soldiers.

“In response, the soldiers returned fire and chased the perpetrators, hitting three NPA terrorists as revealed by the troops,” the statement said. The DND said that the foreigners from IP communities in Vietnam, Myanmar, Indonesia and Malaysia went to Sitio Mintapod, Barangay Hagpa, Impasug-ong, Bukidnon, to observe the activity of local IP community volunteers belonging to Higaonon Amamag Malandang Olandok Gagaw (Hamog). Hamog is a nongovernment organization promoting cultural preservation in the area and has sought the assistance

of the Impasug-ong IPMR and the Army for security during its activity. “We thought a tire exploded, then we heard burst of fire, somebody shouted duck,” de Leon reportedly quoted one of the foreigners as saying during the attack. “We were afraid but we are very thankful to Filipino soldiers for providing us protection,” the foreigner, a woman, reportedly added. The DND said that de Leon reported that at least two more mines were recovered by soldiers. “Our troops discovered two more antipersonnel [AP] mines that remained unexploded and left behind by the fleeing terrorists. These AP mines could have injured the foreign observers,” it quoted de Leon as saying. “It is obvious that the incident this morning is a direct attack to civilians who are not involved and should be protected from any form of attack. This incident deserves international condemnation on the CPP-NPA terrorists,” de Leon added. The foreign observers left for Cagayan de Oro for their next destination after the attack.

Economy BusinessMirror

A4 Friday, May 31, 2019 • Editor: Vittorio V. Vitug

PHL digital economy to expand 12-fold to ₧1.9T in ’30–Hinrich

Mayor banners ‘debt-free’ City of San Fernando civic center By Ashley Manabat Correspondent

LARK FREEPORT—A multimillion-peso Civic Center on a 12-hectare lot in Barangay San Isidro is now rising in the City of San Fernando (CSF), Pampanga’s capital city. CSF Mayor Edwin “Edsa” D. Santiago, who was guest of the Balitaan media forum organized by the Capampangan in Media Inc. (Cami) in cooperation with the Clark Development Corp. (CDC) at the Bale Balita here last Friday, said proudly that the Civic Center is being put up “debt-free.” “So, now we are finishing two schools there [stand-alone K to 12] as well as a ‘tech book,’ and a command and control center costing P220 million,” he said. The mayor also said a permanent evacuation center, which was funded through Rep. Dong Gonzales; two Senior Citizens’ Centers; a Youth Development Center; a City Park; Drug Special Education Center; a Sports Center; and satellite offices are now being constructed at the civic center. Santiago added that a tourism road that will connect the towns of Santa Rita to Lubao that will connect to the North Luzon Expressway (Nlex) Mexico exit to Barangay Anao, Arenas, Arayat, and then Nueva Ecija is now being readied. The mayor said a convention center in Barangay Calulut, CSF, will also be constructed. “Manny Pacquiao will put up a big convention center in Calulut which will

www.businessmirror.com.ph

begin construction next month,” Santiago said. Because of this, Santiago said, he has requested Mexico Mayor Teddy Tumang to put up a service road parallel to Nlex from Mexico to Pau and Pandaras in CSF. He said he has no qualms in asking his fellow mayors for infrastructure development “because in order to succeed, we need the collaboration of everybody, even the private sector and the academe.” Santiago said in San Fernando, a Child Development Center has been prioritized. “We model it from the French, Germany and Japan. It’s zero to two years old and two to four years old before we introduce them to pre-school,” he said. “That is why CSF is No. 1 in National Achievement Test in the region, because we focus on education,” Santiago said. The mayor said “values” should be taught. “Dakal a biyasa pero ela magaling, dakal a magaling pero ela matinu, dakal a matinu ala lang pusu, dakal atin pusu ela makibahagi. [There are many who are intelligent but they are not wise, there are many who are wise but they are not proper, there are many who are proper but they have no heart, and there are many who have heart but they do not cooperate],” Santiago said. “It should be complete, that is the purpose of education, that is why we build a civic center that is owned by the government, that is owned by the people, that is why it is called civic center,” he said. “Only in San Fernando, it is the people who own the Civic Center, not the officials,” he added.

By Jasper Emmanuel Y. Arcalas

@jearcalas

HE country’s digital economy could expand 12-fold to P1.9 trillion by 2030 if the government would hike investments in information and communications technology (ICT), and ease border frictions to facilitate greater trade within the AsiaPacific region, according to the Hinrich Foundation (HF). In its study, titled “The Data Revolut ion: How t he Ph i l ip pines Can Capture the Digital Trade Opportunity at Home and Abroad,” the HF estimated that the country’s digital economy today is valued at about P160 billion. This is equivalent to the 1.8 percent of the country’s gross domestic product. The HF defines digital trade as the production, selling and distribution of goods and services enabled by cross-border data flow, said HF Research Fellow Stephen Olson. Olson said the Philippines is

in a great position to expand its digital economy due to its high smart-phone penetration rate and fairly open digital trade environment. However, if the Philippines wants to expand and benefit more from the digital economy, then it should address two key bottlenecks: lack of ICT infrastructure and minimizing border frictions, Olson added. Despite the country’s high smartphone usage, it lags behind its Southeast Asian peers in terms of Internet connectivity due to lack of infrastructure, he explained.

“The problem is that the nation hasn’t scratch the surface in terms of opportunities of Internet economy. This is closely linked on how slow the internet is and the accessibility to connectivity,” he said in a round-table discussion with reporters on Thursday. “So, despite very high degree of social-media usage, [the Philippines] is still not really [taking] full advantage of [digital] economy,” he added. Olson said it is imperative for the Philippine government to hike investments in ICT infrastructure if it wants to see its digital economy to boom in the future. This include improving Internet speed nationwide and providing wider access for connectivity, especially for small and medium enterprises (SMEs), Olson added. “Digital trade economy is a real game changer for SMEs as it would lower their cost and reduces the scale needed to go global,” he said. “We are at the point where small businesses can act as micro-multinational companies,” he added. Another thing that Olson pointed out is that the government should address to facilitate growth in digital economy in increasing Customs valuation threshold. Citing studies, a hike on the Customs valuation threshold in

the entire Apec region to $200 would generate a $30 billion worth of economic benefit to its 21 member-states. Customs valuation determines the minimum value of an imported commodity that would be slapped with tariffs or duties. If the Philippines would be able to address these two concerns while keeping a fair and open digital trade environment, then its digital economy could hit P1.9 trillion by 2030. Likewise, Philippine digital exports, which currently accounts for 5.4 percent of its total exports today, could expand by 218 percent to P594 billion by 2030, from the current P187 billion estimated amount. At present, the country’s digital economy is led by financial services sector, which is estimated to contribute about P85 billion. Other sectors of the digital economy that contribute to Philippine digital economy are: infrastructure (P17 billion), agriculture and food (P17 billion), education and training (P16 billion), manufacturing (P1 billion), health (P16 billion), consumer and retail (P5 billion) and resources (P3 billion). HF is a philanthropic organization focused on promoting sustainable global trade.

PHL lifts Japan fish ban as a gesture of goodwill

PamCham head wants more industrial sites in Pampanga

HE Philippines has lifted the 7-year-old ban on the importation of several Japanese fish species from Fukishima prefecture as a gesture of goodwill as Manila seeks better market access in the East Asian country, Agriculture Secretary Emmanuel F. Piñol said. In a social-media post, Piñol said he signed a May 27 order formalizing the lifting of the ban, which he would present to his counterpart Japanese Agriculture and Fisheries Minister Yoshikawa Takamori. Following the lifting of the ban, traders could now import fish species like cherry salmon, sand lance, Japanese dace and Ayu, Piñol said. Piñol pointed out that the ban on importing these fish products have “strained” agricultural bilateral trade between the Philippines and Japan. “I consider the ban, issued by the previous administration, as just a bureaucratic goobbledygook and an overreaction to an issue which

LARK FREEPORT—“I would like to suggest to the provincial government that we should have more pocket industrial parks or industrial estates in the province.” Thus, said Rene Romero, president of the Pampanga Chamber of Commerce and Industry Inc. (PamCham), during the Balitaan media forum organized by the Capampangan in Media Inc. (Cami) in cooperation with the Clark Development Corp. (CDC) at the Bale Balita here last Friday. Romero said another industrial park in the Macabebe-Masantol area that can focus on marine/aqua culture should be considered by the provincial government. “This has been my advocacy, but it was cut short when I was replaced by Jim Jimenez as president of the chamber,” he said. “At present we have three—the Angeles Industrial Park in Calibutbut, Bacolor, where light industries are located; the area where the Tipco is located in Mabalacat City; and along Quezon

did not really affect the Philippines,” he said in a Facebook post on Thursday morning. “It was a ridiculous bureaucratic exercise for the simple reason the fish species included in the ban are not imported by the Philippines anyway,” he added. Piñol, who is currently in Japan joining President Duterte’s state visit, said the lifting of the importation ban is a sign of goodwill as the Philippines seeks to gain better market access of farm products in the East Asian country. The Philippines is eyeing to lower tariffs slapped by Japan on its cavendish and pineapples, as well as possible entry of hash avocado, Piñol added. Piñol amended Fisheries General Memorandum Order (FGMO) 001-A dated January 16, 2012, that prohibited the importation of the Japanese fish species to the country due to nuclear crisis that transpired in Fukishima prefecture. However, the Bureau Fisheries

and Aquatic Resources (BFAR) said it would still implement the majority of the provisions of FGMO 001-A to ensure food safety. This includes requiring imported fish products from Fukishima prefecture to be accompanied with documents that would show that the imported goods conform with the country’s radionuclide standards. Should imported fish products from Japan contain radionuclide above government standards, then the consignments would be confiscated and sent to the Philippine Nuclear Research Institute (PNRI) for testing. “The PNRI has the authority to decide on the proper disposition of the confiscated consignments,” FGMO 001-A read. “All expenses related to the laboratory analysis, storage, transport and disposal of confiscated contaminated consignments shall be borne by the importer,” it added. Jasper Emmanuel Y. Arcalas

Road in San Simon where heavy industries are located,” he pointed out. However, there seems to be a problem in the San Simon industrial site because they were not regulated properly, Romero observed. “It seems they have a problem in waste disposal and some violations of the National Building Code, and almost all the locators there are Chinese,” Romero added. “But it’s good that the industrial site there is up for review especially now that there is a new mayor there, JP Punzalan,” he said. Romero said the provincial government should also consider putting up industrial sites in Apalit and Candaba towns and another in the province’s third district in Arayat. “The idea is to create live, work, play townships so that workers can spend quality time with their families. Industrial parks should be closer to the workers’ residences,” he said. Romero explained that the ideal concept would be for a worker to just

take the bike to work, or even walk to the job site, which should be only about 15 minutes away. “So, the worker will not contribute to the traffic congestion and will not shell out fare money anymore,” he said. “Like in Macabebe, we already have some property in mind. But the government should be the one to initiate and consolidate the lot owners so that it can create more or less 200 hectares for the industrial site,” he said. “The provincial government should make the access roads to these sites,” he added. According to Romero, he had initially talked to Provincial Board Member Jun Canlas who told him the idea is “very, very possible since the provincial government has the money.” He said industrial parks should be interconnected via a two- or fourlane circumferential road so that they will be connected through easy access with each other. If these happen, industrial parks can relate with each other. Ashley Manabat

DOF, DILG pact mandates LGUs to collect ‘reasonable’ fees, charges to enhance biz By Jonathan L. Mayuga @jonlmayuga

HE Department of Finance (DOF) and Department of the Interior and Local Government (DILG) recently signed a joint memorandum circular (JMC) calling on local government units (LGUs) to adopt reasonable regulatory fees and charges for their services to promote a businessfriendly environment. Setting reasonable fees and charges for LGU services should be in accordance with the provisions of Republic Act 7160, or the Local Government Code (LGC) of 1991 and RA 11032, or the Ease of Doing Business law. In a news statement, Interior Secretary Eduardo M. Año said “LGUs should be properly guided by the joint circular on how to adjust and revise their fees and charges at just and reasonable rates sufficient to cover the cost of services rendered.” “High rates discourage investors, while low rates could compromise the revenue generation of the LGUs. With this JMC, we are able to set the standard for the appropriate rates for the fees and charges to be imposed by the LGUs,” the DILG chief explained. “We encourage all LGUs to rational-

LGUs should be properly guided by the joint circular on how to adjust and revise their fees and charges at just and reasonable rates sufficient to cover the cost of services rendered.”—Año ize their imposed fees and charges in accordance with this guideline, considering that the identified fees and charges must be reasonable to all concerned parties. Defiant LGUs who will impose additional fees and charges not reflected in their Citizen’s Charters will be sanctioned,” he added. Under the JMC, an oversight committee on the revision of the fees and charges shall be created at the LGU level 90 calendar days after the promulgation of the JMC composed mainly of the local chief executives (LCE), local treasurer, budget officer, planning and development coordinator, local accountant, among others. The committee will ensure that the guiding principles of the LGC and the JMC are followed; review the rationale of the imposed fees and user charges,

and the methodology for the determination of the fee schedule or rates; compute appropriate rates to recover the cost based on gathered data, and submit the recommended proposed local revenue ordinance to the LCE and the local Sanggunian. The rates of fees and charges levied by LGUs should also be adjusted at reasonable rates sufficient to recover the direct fixed cost and variable costs of rendering services, Año said. Variable costs include personnel salaries and wages, costs of supplies and materials, and transportation and travel expenses, among others. On the other hand, fixed cost are those which consist of a proportionate share in the overhead expenses comprising depreciation rates of equipment and utilities used, including the cost of

water, electricity, telecommunication and other regular services rendered to the applicants. Section 130 of the LGC states that the exercise of the taxing and other revenue-raising powers of LGUs shall be “…uniform in each local government unit; equitable and based as far as practicable on the taxpayer’s ability to pay; levied and collected only for public purposes, not be unjust, excessive, oppressive, or confiscatory, and not be contrary to law, public policy, national economic policy, or in the restraint of trade.” Among the common and allowable fees and charges collected by LGUs are the following: business permit/ mayor’s permit fee; barangay clearance; permit to extract sand, gravel, and other quarries resources; fees for sealing and licensing of weights and measures; fishery rentals, fees, and charges; fees on commercial breeding of fighting cocks, cockfighting and cockpit; fees of places of recreation which charge admission fees; fees on billboards, signboards, neon signs and outdoor advertisements; toll fees and charges; public utility charges; other fees and charges strictly in accordance with Section 186 of the Local Government Code.

Editor: Angel R. Calso

The World BusinessMirror

Oil rises as US inventory data gives break from trade angst

IL climbed above $59 a barrel as a report signaling a bigger-than-forecast drop in US crude stockpiles added to concerns global supply is tightening, even as the trade war continued to muddy the demand outlook. Futures in New York gained as much as 0.9 percent after closing down 0.6 percent on Wednesday. The American Petroleum Institute (API) said that US inventories fell by 5.27 million barrels last week, according to people familiar with the data, compared with the median estimate for a decline of 1.36 million barrels in a Bloomberg survey. That would be the biggest drop since mid-March if confirmed by Energy Information Administration data due on Thursday. Oil is headed for the first monthly loss this year after a shattering of the trade truce between the US and China threw the global growth outlook into question. Volatility has risen as traders are torn between trade war headlines and a combustible Middle East that’s threatening to disrupt oil flows. Against this turbulent backdrop, the Organization of the Petroleum Exporting Countries and its allies haven’t been able to agree upon a date for their next policy summit. The API report “is providing some support to crude this morning after overnight losses but not as much as one would have expected with an inventory draw-down

of this size,” said Vandana Hari, founder of Vanda Insights, a Singapore-based provider of oil market analysis. The API’s estimate for an increase in gasoline stocks may have blunted the impact, she said. West Texas Intermediate crude for July delivery rose 51 cents, or 0.9 percent, to $59.32 a barrel on the New York Mercantile Exchange as of 7:45 a.m. in London after climbing as much as 54 cents earlier. The contract is down 7.2 percent so far this month. Brent for Ju ly sett lement climbed 0.5 percent to $69.80 a barrel on London’s ICE Europe Futures after closing down 0.9 percent on Wednesday. The global benchmark crude was trading at a premium of $10.47 a barrel to WTI. The API said that gasoline stockpiles rose by 2.71 million barrels last week. US crude inventories have risen in four of the last five weeks through May 17 and are at 476.8 million barrels, the highest since mid-2017, EIA data shows. The US-China trade war continued unabated with a Fox Business Network host and a broadcaster for Chinese state television sparring over key trade issues on a live debate broadcast by the American network. That came after US Secretary of State Mike Pompeo told Fox Business that Washington “may or may not get a deal” with Beijing. Bloomberg News

Friday, May 31, 2019

Mahathir urges US to talk with China and accept its prowess

OKYO—Malaysian Prime Minister Mahathir Mohamad on Thursday called for talks to resolve the ongoing trade dispute between Washington and Beijing, and urged the world to accept China’s technological prowess. The US cannot expect to always be at the top in technology, and countries need to talk to deal with a powerful China, Mahathir said at a conference in Tokyo. He also appeared to side with Chinese telecom giant Huawei, which the US has put on a blacklist. “We try to make use of their technology as much as possible,” Mahathir told the Future of Asia conference, noting that Huawei has achieved a “tremendous advance over American technology.” “We have to accept that the US cannot forever be the supreme nation in the world that can have the best technology in the world,” he said. For months, the world ’s two

big gest economies have been locked in a standoff over trade ba lances and technolog y, including allegations that China u ses u n fa i r t ac t ic s, suc h a s stealing trade secrets. The Trump administration has imposed 25-percent tariffs on $250 billion in Chinese imports and is planning to tax another $300 billion in imports that have so far been spared. It escalated the stakes this month by effectively barring US companies from supplying Huawei with computer chips, software and other components without government approval. Mahathir said nations with differing ideologies must be able to get along.

MALAYSIA’S Prime Minister Mahathir Mohamad delivers a keynote speech at the special session of the International Conference on “The Future of Asia” on Thursday, in Tokyo. AP/EUGENE HOSHIKO

“It is worth it to talk to each other and stop this confrontation,” he said. He warned that conflict between the US and China would only lead to “greater destruction.” “We want to see reasonable, responsible countries sit down a rou nd a t a bl e a nd d i s c u s s problems. How do we deal with China, a strong China which is ver y rich because China has got money,” he said.

Mahathir arrived in Tokyo on Wednesday and leaves on Friday. Ja p a n e s e P r i m e M i n i s t e r Shinzo Abe has meetings with Ma hat hir a nd leaders of si x other Asian nations this week, pa r t of h i s ad m i n i st rat ion’s policy of courting Europe, the US and other nations in part to counter China’s growing global inf luence. AP

The World

Friday, May 31, 2019

BusinessMirror

www.businessmirror.com.ph

New trade war front feared as US-EU tariff talks stumble

VEN though President Donald J. Trump held fire earlier this month on auto tariffs that have the potential to further roil Europe’s struggling economy, a litany of domestic dilemmas on both sides of the Atlantic threaten to frustrate efforts at a trade pact before they’ve even begun. Ten months after Trump and European Commission President JeanClaude Juncker struck a Rose Garden truce meant to clear the way for negotiations to reduce tariffs on industrial goods and eliminate regulator y hurdles, those talks are show ing few signs of going any where meaningful. European officials have blamed a Trump administration that has had little time for dealing with a bureaucracy in Brussels already held in low regard by many in the US president’s orbit. Distracting Trump has been a breakdown in talks with China and a need for a quick deal with Japan to assuage American agricultural interests. “I don’t think the US is ready to start on the tariff negotiations,” Cecilia Malmstrom, the EU’s trade commissioner, told reporters in Paris earlier this month after meeting with US Trade Rep.Robert Lighthizer. Yet, it is the growing polarization in Europe evident in the recent elections that saw a fragmentation of the mainstream center-right and center-left parties that some in Washington see as a sign of the bigger structural obstacles to a deal. W it h t he Bre x it process t h row n i nto t u r moi l a f ter P r i me Mi n i ster T heresa May a n nou nced her resignat ion t h is mont h, ea ster n nat ions t e s t i n g t h e l i m it s o f “ i l l i b e r a l ” democ rat ic refor ms, a n a sser t ive Ru ssi a t h reaten i ng pi l l a rs of Eu ro pean Union secur it y and an increasi ng ly f rag i le econom ic bac kd rop, t he 28 -n at ion bloc faces plent y of it s ow n d i st rac t ions. “You’re seeing an EU that is fighting fires on so many fronts that I just don’t think they are going to be confident and able to negotiate that deal’’ with the US, said Heather Conley, head of the Europe program at the Center for Strategic and International Studies.

Tariff threat looms

THE 180-day deadline that Trump set for a negotiation with the EU and Japan over reducing their exports of cars and parts to the US holds to the president’s pattern of steadily increasing pressure on trading partners to cut a deal more to his liking. As he made clear during his recent trip to Japan, Trump is eager to see at least some rapid deals going into his 2020 reelection run. With Japan he may have some luck. People close to those talks see the very real possibility of a deal being struck by the end of the year with negotiations due to accelerate after Upper House elections in Japan in July. For Europe, though, the signs are more ominous. The auto deadline will hit just as a new European Commission, the bloc’s executive arm, is due to take over from the Juncker-led one that has governed for the past five years.

No cars, agriculture

MOREOVER Germany and France, the EU’s two dominant powers, appear to have increasingly clashing conceptions of the economic direction they want to take Europe in. France’s Emmanuel Macron led some EU member-states in resisting US efforts to include agriculture in any transatlantic discussions, something the EU insists Trump gave away last July as part of the Rose Garden truce. Though many in Washington, including Senate Finance Committee Chairman Chuck Grassley, have said any deal that didn’t include agriculture wouldn’t get through Congress. Germany, which ex ported €27.2 billion of cars and car parts in 2018, is more concerned about Trump’s threat of automobile tariffs than protecting European agricultural interests. T he home of Mercedes-Benz, BMW and Porsche generated a sur plus of

€22 billion in automotive trade w ith US last year. Recent rounds of bilateral talks have yielded little progress and US officials have resisted even broaching the subject of autos, according to people close to the negotiations. European officials last year proposed a plan to reduce auto tariffs on both sides of the Atlantic to zero, a concession already made to Japan as part of an EU-Japan trade pact that went into effect earlier this year. But that was rejected by Trump, according to people close to the negotiations.

EU eyes retaliation

IN talks in Washington and Paris this month the two sides again made little progress. As if to highlight the distance between the two sides, US officials during the Washington meetings at one point brought out a binder containing a 150-page text negotiated with China and showed it off, according to people familiar with the events. That leaves the most likely paths either for more muddling through or for a sharp escalation. EU officials have made clear any auto tariffs would be met with retaliation, as were steel and aluminum duties introduced on similar national security grounds last year. The EU said in January that it would hit €20 billion of US products should Trump impose auto tariffs. With the current European Commission entering a lame duck phase, the global auto sector facing falling sales in markets like the US and China, and fears of a slowdown in the world economy looming large, muddling through may be the most likely option, said Conley, who oversaw relations with the EU at the State Department during the administration of George W. Bush. US auto tariffs also would bite at home where they are opposed by General Motors Co. and Ford Motor Co., and that may be a cost Trump is unwilling to bear going into the 2020 election with key states like South Carolina home to major European carmakers like BMW AG and Volvo AB. Tariffs would “rebound very painfully on American workers and the American economy as much as the European economy,’’ Conley said. “It’s a choice. But it certainly could be a painful one.” Bloomberg News

CHINA DANGLES NEW THREAT IN TRADE WAR

ASHINGTON—Facing new trade sanctions and a US clampdown on its top telecommunications company, China issued a pointed reminder on Wednesday that it has yet to unleash all its weapons in its trade war with the Trump administration. Chinese state media warned that Beijing could cut America off from exotic minerals that are widely used in electric cars and mobile phones. The threat to use China’s rich supply of so-called rare earths as leverage in the conflict has contributed to sharp losses in US stocks and sliding long-term bond yields. For months, the world’s two biggest economies have been locked in a standoff over allegations that China deploys predatory tactics—including stealing trade secrets and forcing foreign companies to hand over technology—in a drive to supplant US technological dominance. The Trump administration has imposed 25- percent tariffs on $250 billion in Chinese imports, and is planning to tax the $300 billion in imports that have so far been spared. And it escalated the stakes this month by putting the Chinese telecom giant Huawei on a blacklist that effectively bars US companies from supplying it with computer chips, software and other components without government approval. The US claims Huawei is legally beholden to China’s ruling Communist Party, which could order it to spy on their behalf. Washington has offered no evidence that the Huawei has done that, however. Huawei is trying to beat back one punitive US measure in federal court. In a motion filed late Tuesday in eastern Texas, the company argued that a 2018 law that bars it from selling telecom gear to US government agencies and contractors should be struck down as unconstitutional. The move for summary judgment in

a case filed against the US government in March says the law violates a constitutional prohibition against “trial by legislature” of individual entities. Congress thus acted unconstitutionally when it “adjudicated Huawei’s guilt and blacklisted it,” the motion argues. An attorney representing Huawei in the US case, Glen Nager of Jones Day, asserts that Congress alone cannot constitutionally impose punishment on an individual company—which the punitive law does in singling out Huawei by name. The law “is intended to drive Huawei out of the US—i.e., to banish it,” Nager argued. It “stigmatizes Huawei as a tool of the Chinese government” with no right to a fair hearing, he added. Steven Schwinn, a professor at John Marshall Law School in Chicago, suggested that Huawei’s arguments fall short constitutionally, and “given that this relates to national security, we can expect the courts to be fairly deferential to the government.” The nationalistic Chinese newspaper Global Times warned that China has plenty of ways to retaliate against the United States, including the threat of cutting off supplies of rare earths. China last year produced 78 percent of the world’s rare earths, according to researchers at Bank of America Merrill Lynch. If the US fails to exercise restraint, it will see that “China is far from running out of cards, and we have the will and determination to fight the US to the end,” the paper’s editorial said. An official of China’s top economic planning agency did not rule out using rare earths as a countermeasure against “the US’s unwarranted suppression.” President Xi Jinping visited rare earth-related businesses in southeastern Jiangxi province earlier this month. He called rare earths “an important strategic

resource” while stressing the importance of owning independent core technologies, the state-run China Daily reported. China has used rare earths as a cudgel before. Five years ago, the World Trade Organization slapped down China’s attempt to restrict the export of rare earths, rejecting its claim that it just wanted to protect the environment and conserve supplies. Instead, the move appeared to be aimed at hurting Japan with which Beijing was having a diplomatic tiff. Scott Kennedy, director of the project on the Chinese economy at the Center for Strategic and International Studies, said the Chinese might benefit even less if they try to weaponize rare earths again. “It’s not the threat that it was...when the Chinese threatened to cut off the Japanese,” he said. First, users of rare earths have stockpiled the minerals for a “rainy day.” Second, they also have figured out how to “use less rare earth to achieve the same results” in such products as lasers and magnets. And third, different minerals and chemicals are increasingly being used as rare earth substitutes. Kennedy predicts that once investors have “realized the threat wasn’t as dire, markets would bounce back.” Still, he isn’t optimistic about the US-China trade negotiations, which broke off May 10 after an 11th round of talks failed to produce an agreement. US officials accused the Chinese of reneging on agreements they’d made in earlier rounds. “The Chinese first are going to have to signal they will talk,” he said. Then they will have to go back to where they stood before they backpedaled on earlier concessions. “I don’t see any body language from the Chinese that they’re about to do that,” Kennedy said.

AP (See related story on A11)

UITF A BusinessMirror Special Feature

UNIT INVESTMENT TRUST FUND

www.businessmirror.com.ph

Friday, May 31, 2019

Unit Investment Trust Fund: It’s safe and wise

By Leony R. Garcia

IRED of the usual saving that doesn’t generate much interest? Maybe it’s time for you to consider an investment fund other than simple savings in the bank.With its many advantages, the Unit Investment Trust Fund or UITF offers attractive opportunities for investors. A UITF is a curated investment fund managed by experts to ensure high-yield and quality returns. It’s the perfect investment option if you don’t have the time or knowledge for actual stock trading because it lets experts manage your investments through securities, bonds, equities, and other best-in-class instruments. Here is the best news: UITFs are affordable. Compared to stocks and other investment instruments, you can start investing in UITF for as little as P5,000. Based on historical fund performance, UITFs have provided higher returns than traditional deposit products. For example, a P5,000 investment in a time deposit will only earn P203 in five years versus P2,842 if invested in an equity fund. This is based on the Time Deposit's rate of 0.80% per annum (p.a.) against the usual Equity Fund average performance (from 2012 to 2017) to of 9.42% p.a. Moreover, UITF is your weapon against inflation which affects your purchasing power. The Bangko Sentral ng Pilipinas (BSP) forecasted inflation to average at 3.2% in 2018. If this will be the trend in the next few years, your P5,000 today could be P800 lesser in value after five years. To beat inflation, you need to make investments that can yield returns higher than the inflation rate. Since UITFs are managed by investment experts, you don’t need to burden yourself and spend your valuable time researching, analyzing, and keeping an eye on

the market. So don’t panic when the price of the UITF goes down. Prices of a Fund’s underlying securities go up and down over time. Volatility is part and parcel of investing --financial markets do not go up in a straight line. So you don’t make big financial decisions on your own, let the professionally-trained investment experts decide for you. The experts can always diversify your investment in stocks, bonds, treasury bills, debt securities, highyield savings account, and other fixed-income instruments which ever is earning best.

Here are the do’s and dont’s for first-timer UITF investor: DO’s Do read the Declaration of Trust, Information Memo, Offering Circular or similar document about the Fund/s you are interested in before investing. Do evaluate your investment objective and risk appetite before you invest in any UITF. Do invest in UITFs that meet your investment objectives and risk tolerance. Do invest for the long term. Do make sure you invest in UITF products that you understand. Do demand confirmations of your investment transactions. Do seek professional advice when in doubt about an investment. Do review your investment strategy regularly. Do inform your relationship

manager if your financial circumstances and investment goals have changed. DON’Ts Don’t invest in a Fund if you do not understand its terms and conditions. Don’t invest in a Fund just because everyone seems to be investing in it. Don’t get emotionally attached to investments that have served you well in the past but are no longer suitable for your needs. Don’t try to time the market. Make regular investments to take advantage of cost averaging. With the good economic movement nowadays and higher pay than years ago, the best time to invest is now! To learn more about UITFs and how it works, inquire from participating bank/s nearest you.

BPI AMTC’s dollar-denominated fund generates high returns

PI Asset Management and Trust Corporation’s (AMTC) US Dollar Income Feeder Fund generated higher returns among select Philippine dollar-denominated fixed income instruments with 5.42% per annum returns on its pilot distribution last December 2018. “We are happy to see this impressive performance of the newest fund launched only in August last year. This only shows that the BPI US Dollar Income Feeder Fund is a promising option for investors who want higher returns,” said Sheila Marie Tan, president of BPI AMTC. The BPI US Dollar Income Feeder Fund is BPI AMTC’s only income-paying fund designed for those who primarily want a stable income but also aim for long-term capital growth. While investors of regular UITFs, or Unit Investment Trust Funds, usually receive their earnings only upon redeeming their investments, investors of the BPI US Dollar Income Feeder Fund may receive their investment’s

earnings semi-annually without having to redeem their funds. “We continually expand our product suite to cater to clients’ key investment needs such as regular cash flow. The BPI US Dollar Income Feeder Fund was structured exactly to address this need. With this fund, investors conveniently receive income through their deposit account,” Tan said. She added that the fund’s investors will soon enjoy another possible income distribution in June. Even newcomers to the fund, or those with outstanding holdings by the last business day of May 2019, can qualify for the income distribution. Aside from the income payout, the fund also offers opportunities for long-term capital growth with its portfolio mix of fixed income securities, equities, and alternative assets. As a balanced fund, the BPI US Dollar Income Feeder Fund is able to ride out economic peaks and troughs with its varying asset allocation in response to

market conditions. “In times of market turbulence, clients can take comfort in investing in a fund with a defensive strategy. While the fund is intended for aggressive investors, its volatility is managed within 6% to 8%, which is lower compared to the volatility of pure equity outlets at over 10%,” said Tan. Clients may invest in the BPI US Dollar Income Feeder Fund for as low as US$ 1,000 by going to the any BPI branch or by logging on to BPI Online. The fund has a minimum holding period of 180 days. Once subscribed, clients may opt to enroll their account under the Regular Subscription Plan (RSP) through which a specified amount, starting at US$ 500, will be automatically debited for subscriptions to the fund. It will be electronically processed either monthly or quarterly, depending on the client’s preferred schedule. Those interested may call BPI AMTC at (02) 580-AMTC (2682).

Agriculture/Commodities BusinessMirror

www.businessmirror.com.ph

Editor: Jennifer A. Ng • Friday, May 31, 2019 A9

US opens market to PHL young coconuts

By Recto Mercene @rectomercene & Jasper Emmanuel Y. Arcalas @jearcalas

ILIPINO planters may start shipping young coconuts to the United States and ease the domestic supply glut after Washington said the American market is now open to the commodity, the Department of Agriculture (DA) said. “The US government has confirmed that young coconuts from the Philippines may now be exported through all ports in the US,” Philippine Agriculture Attaché to the US Josyline Javelosa said in a statement. Agriculture Secretary Emmanuel F. Piñol, who is currently in Japan for President Duterte’s state visit, described the opening up of the US market as “an achievement of the current administration.” During a bilateral meeting on May 22 and 23, Jill Wallace, deputy director of Phytosanitary Issues Management and head of US delegation, informed the Philippine delegation that the country’s young coconuts could be exported to the US. Wallace informed Philippine officials headed by Bureau of Plant Industry Director George Culaste that they would

allow the entry of young coconuts with 75 percent or more of outer shell surface of the husk removed. For his part, Culaste welcomed the development and noted that Philippine young coconut producers, particularly in Mindanao, are eager to ship their produce to the US, according to a statement released by the Philippine Embassy in the US. Other issues discussed during the meeting are the Philippines’s request for the access of its okra to the US market; Philippine proposal to have the US waive preclearance requirements for Philippine fresh mango exports; US request for blueberries to access the Philippine market; and the two countries’ respective initiatives with regard to Export Certification and Electronic Phy tosanitar y Certificates and observance of the 2020

DA catch-up plan to help boost 2019 growth–DOF By Cai U. Ordinario @caiordinario

HE Department of Finance (DOF) expressed confidence that the catch-up plan presented by the Department of Agriculture (DA) in the last Economic Development Cluster (EDC) meeting will help keep GDP growth at above 6 percent this year. Finance Secretary Carlos G. Dominguez III said in a statement that the DA’s three-pronged strategy will contribute efforts to boost infrastructure spending in the second to fourth quarters and keep GDP growth above the 6-percent level in 2019. The program presented by Agriculture Secretary Emmanuel F. Piñol covered productiv ity enhancement interventions for major crops such as rice, corn and sorghum; regulatory and support activities for the poultry and livestock subsectors; and livelihood and safety interventions for the fisheries subsector. “This whole program now has to be translated into higher growth for 2019,” Dominguez said of the DA’s plan. Dominguez, who served as DA secretary during the term of former President Corazon Aquino, said to further boost the economy, agriculture also has to recover from its 10-year, low-growth phase and expand by at least 2 percent per annum. With only 0.8-percent growth, Philippine agriculture’s anemic performance in 2018 contributed only 0.1 percent to GDP expansion last year. It grew 0.67 percent in the first three months of 2019, accounting for a paltry 0.1 percentage point of GDP growth for that quarter. In his presentation before the EDC, Piñol said he expects the full implementation of programs under the Rice Competitiveness Enhancement Fund (RCEF), as mandated by Republic Act (RA) 11203, or the rice tariffication law, to contribute to agriculture growth by the first quarter of 2020. For the rest of 2019, Piñol reported to the EDC that the DA’s catch-up plan for the crops subsector involves the early distribution of certified seeds to palay growers tilling a combined 2.2 million hectares of land. The DA is also distributing fertilizers in areas with sufficient irrigation

covering 42,902 hectares in time for the harvest season in the second semester of 2019. Piñol said the expected increment in rice production is 1 metric ton (MT) per hectare. Seeds and fer tilizers w il l a lso be distributed to corn and sorghum growers, he added. The DA is also targeting an expansion area of 100,000 hectares for corn and another 100,000 hectares for sorghum for the wet season planting to be harvested within the second half of 2019, he added. With these, Piñol said he expects corn production of around 600,000 MT to reach P9.1 billion and sorghum production of about 400,000 MT to amount to P6 billion. He said the adoption of new plant varieties will protect top fruit exports, such as bananas and mangoes from diseases. The government is also expanding vegetable farming in some 50,000 hectares of land in Mindanao. For poultry and livestock, Piñol has proposed importing 300,000 MT of corn at zero tariff to be sourced from countries free of the dreaded African swine fever (ASF). “These should not be delivered during the bulk harvest season of the second semester which covers the months of September to October,” he said. To protect the livestock sector from ASF, Piñol made a pitch for the implementation of a temporary ban on meat imports for five months. Piñol also introduced a plan to establish four dairy farm complexes, each housing 6,000 dairy cows in four locations across the country with an estimated 36 million liters of milk production valued at P1.4 billion. In the fisheries subsector, Piñol said the DA plans to help set up 300 fish cages per region using funds from the Agricultural Competitiveness Enhancement Fund Lending Program. The Land Bank of the Philippines will coordinate lending across all regions in the country, he said. This project, Piñol said, is estimated to produce 96,000 MT of fish valued at P9.98 billion. The DA will also continuously monitor water quality and fish stocks in brackish water and freshwater areas in relation to the effects of the El Niño, he added.

International Year of Plant Health. “I congratulate the participants for covering a lot of ground in their bilateral meeting. These positive developments bode well for the expansion of Philippines-US agriculture cooperation and creation of opportunities for Filipino and American farmers and agri-businesses,” said Philippine Ambassador to the United

States Jose Manuel G. Romualdez. The US Department of Agriculture (USDA) hosted site visits for the meeting participants to their impressive facilities, such as the Animal and Plant Health and Inspection Service’s (APHIS) Plant Germplasm Inspection Station in Beltsville, Maryland. APHIS Deputy Administrator Osama El-Lissy hosted the exit meeting of both

delegations at USDA’s Whitten Building and affirmed his support for the resolution of the bilateral phytosanitary issues between the Philippines and the United States. USDA Agriculture Secretary Sonny Perdue also had the chance to briefly visit with the meeting participants and highlighted the importance of trade between the United States and the Philippines.

A10 Friday, May 31, 2019 • Editor: Angel R. Calso

Opinion BusinessMirror

www.businessmirror.com.ph

editorial

Avoiding the ‘Aporkalypse’

ROM—and with apologies to—The Economist, “While the Chinese zodiac celebrates the year of the pig, for the Earth-bound variety it is a terrible time. African swine fever [ASF], harmless to humans but fatal to porkers, has spread across the country. Hong Kong’s first case was reported on May 17th. The epidemic has affected colossal numbers of pigs, pushing up pork prices steeply.” Their article “Aporkalypse Now” goes on to report: “It may take years for China to control the disease. Officials say they are doing all they can, but they are always a step behind.” Further, financial institution Rabobank estimates that 200 million pigs will perish this year in China due to the ASF epidemic, which amounts to approximately one third of the country’s pig population. Hog prices in China are up 40 percent since this time last year, and in April alone, prices increased by 14 percent. Supplies of frozen pork have been sold from stockpiles to stabilize prices but this will not last much longer. The ASF is a disaster to pig populations with a mortality rate of at least 90 percent. Epidemics elsewhere in the past have been relatively contained. With China before the outbreak holding half the world’s pig population and piggery methods—such as using cheap pig feeds that actually contain infected pork meat—that are helping spread the epidemic, there is no assured end in sight. It is absolutely critical that the Philippine government take a zerotolerance approach with its policies to ensure that the disease does not reach our shores. This week, the Food and Drug Administration ordered the recall of pork products imported from countries hit by ASF, following a request from the Department of Agriculture. There are 16 countries on the list from China, Vietnam, and Cambodia in Asia to Hungary, Latvia and Poland in Europe. The ban includes canned pork from these countries that were manufactured beginning August 2018. However, knowing that importers have a disturbing habit of breaking the law in favor of profits, we consumers must do our part by checking the manufacturing date on the ever-popular canned pork from China and other places. There is one interesting aspect to this situation involving geopolitics and trade. The United States is the third largest—after Russia and the EU— global pork producer, even more than China since 2015. Further, the largest piggery company in the US is Smithfield Foods Inc., a wholly owned Chinese company. In an amazing touch of irony, Smithfield exports pork from the US to China. From China, there is talk that it may prohibit the export of rare earth minerals to the US. While China has imposed heavy tariffs on US products including pork, President Trump—using special emergency powers first employed by President Franklin Roosevelt—may stop pork exports to China. Even though the US only provides $1.1 billion worth of pork, Chinese imports are up 45 percent this year. As one pundit put it, we may be entering a “Pig and Metal War.” What a time we live in. Since 2005

BusinessMirror A broader look at today’s business ✝ Ambassador Antonio L. Cabangon Chua Founder Publisher Editor in Chief Associate Editor News Editor Senior Editors

Manny F. Dooc

TELLTALES Continued from A1

DMITTEDLY, those in the government should lead a transparent life. We will scrutinize their action and stand on public issues, we will review how they voted on a particular legislative measure, and we will weigh in on their public utterances to determine their strength of character and conviction. We will know if they have a backbone that can stand up for a cause, and we will see who among them has a spine as soft as an éclair. Will they, on cue during a photo session, raise their closed fist as a gesture of total fealty to their patron? Are they men of character and ideals who will not compromise their principles in exchange of power and pelf? Will they be the Senate’s vanguards that will shield the institution against those seeking to destroy its autarkic existence? nnn

IF our honorable senators would like to reassure us of their independent spirit, they should not be beholden to anyone but to the people who elected them into office. As President Manuel L. Quezon has aptly said: “My loyalty to my party ends where my loyalty to my country begins.” There are many ways they can endorse the President, as there are many administration programs worthy of their backing. Let’s admit it—this government is not bereft of

initiatives that deserve our support. This is equally a challenge to both the pro- and anti- administration senators. This will not be hard to accomplish if they maintain objectivity and nonpartisanship in discharging their solemn duties. Statesmanship is the word but are our senators up to it? The Senate is the training ground and incubator for the presidency. There is no better school that will prepare anyone for it. So they should make the most of it.

Rev. Fr. Antonio Cecilio T. Pascual

SERVANT LEADER

Jennifer A. Ng Vittorio V. Vitug Lorenzo M. Lomibao Jr., Gerard S. Ramos Lyn B. Resurreccion, Efleda P. Campos Dennis D. Estopace

Creative Director Chief Photographer

Eduardo A. Davad Nonilon G. Reyes Judge Pedro T. Santiago (Ret.) Benjamin V. Ramos Adebelo D. Gasmin Marvin Nisperos Estigoy Aldwin Maralit Tolosa Rolando M. Manangan

BusinessMirror is published daily by the Philippine Business Daily Mirror Publishing, Inc., with offices on the 3rd floor of Dominga Building III 2113 Chino Roces Avenue corner De La Rosa Street, Makati City, Philippines. Tel. Nos. (Editorial) 817-9467; 813-0725. Fax line: 813-7025. (Advertising Sales) 893-2019; 817-1351, 817-2807. (Circulation) 893-1662; 814-0134 to 36. E-mail: news@businessmirror.com.ph.

www.businessmirror.com.ph

Printed by BROWN MADONNA Press, Inc.–San Valley Drive KM-15, South Superhighway, Parañaque, Metro Manila

COURAGE. Integrity. Loyalty. This is the motto of the Philippine Military Academy, which embodies the values of every “mistah.” For as long as our soldiers uphold this as their true compass, the defense and sovereignty of our country will be secured. Last week, 261 members of the Mabalasik Class of 2019 graduated from the PMA. They will join the various branches of service of the Armed Forces of the Philippines. They will soar in our skies, navigate our seas, and scour our jungles and forests to protect our country from terrorism and international aggression. “Serve your country well. Die for your country if need be,” the President intoned during his commencement address to the graduating class. But to me the more important portion of his speech was when he said: “[I]f you think the country is not run the right way and if this will destroy your country, you should know what to do.” This is the subliminal message that is tantamount to a resigned acceptance of the power of the military to stage a coup or uprising in the event of mismanagement by the administration, and I salute the President for his candor. nnn

A STAR power endorsement still weaves magic in our politics, otherwise, how do you explain the triumphant entry of new and unknown party-lists such as ACT-CIS, Ang Probinsyano, and Probinsyano

Bridging inequality in Philippine society

Lourdes M. Fernandez

Ruben M. Cruz Jr. Angel R. Calso

MEMBER OF

nnn

T. Anthony C. Cabangon

Online Editor Social Media Editor

Chairman of the Board & Ombudsman President VP-Finance VP Advertising Sales Advertising Sales Manager Group Circulation Manager

Duterte: ‘Serve your country well, and die for it if need be’

ROTHERS and sisters, I bear great news. This past week, President Duterte signed Republic Act 11310 making the Pantawid Pamilyang Pilipino Program, better known as the 4Ps, a permanent anti-poverty program of the government. Under the Department of Social Welfare and Development (DSWD), in partnership with other agencies such as the Department of Health, Department of Education, and Technical Education and Skills Development Authority, the 4Ps has been implemented by the government to help alleviate the lives of the poor through direct financial help. But the monthly funding of the poor is accompanied with certain conditions, such as ensuring the attendance of their children at school, the regular checkup of the pregnant women and vaccination of the children, and attendance to the so-called family development sessions that will help in improving the relationships among married

couples. We must understand that the 4Ps is not a solution to the issue of poverty; it merely attempts to stop the so-called intergenerational poverty, poverty that is passed down to children, by ensuring that these children have proper education and health care. Adopted from the conditional cash transfer or CCT programs from countries in Latin America and Africa, the 4Ps was initiated by the Arroyo administration and was continued by former President Noynoy Aquino. According to the DSWD, since the start of the implementation of the 4Ps from 2008 until February 2019, almost 5 million families have received help from this program. The implementation of the 4Ps

Act can be considered as a way to advocate the rights of society clearly stated in the Constitution. In providing enough funds for this program (hopefully accompanied by effective and appropriate implementation), the human dignity of those clinging to life is finally given protection with the help of the government. They are given the opportunities to use government services, and with this, the difference or inequality in society is being bridged. Investments by the government in education and health for children will ensure the prevention of families passing down their poverty to future generations, gradually achieving the common good. The great goals of the 4Ps agree with the social teachings of the Catholic Church. Since the release of the first social encyclical Rerum Novarum, the poor are given a voice by the Church in order to help protect them from abuse and the overall system of poverty and suffering. However, we must still give our attention to the implementation of the new law with the true goal of reaching far beyond the needs and primary services for the poor, truly helping them rise from poverty. First of all, we must ensure that the system in choosing which part

Ako among the triumphant groups proclaimed winners by the Comelec on May 22, 2019. ACT-CIS, which topped the Party-list elections, was strongly endorsed by popular media man Raffy Tulfo who practically burned the airwaves with his political ads a week before the elections. Likewise, both Probinsyanos identified with the top-rated TV show being followed by millions of viewers led by Coco Martin landed among the top 10 and are assured of getting at least two seats in the Lower House. I hope the positive qualities of their star power endorsers will rub on their endorsees and translate their conduct in Congress into a star power performance. nnn

FOR the fifth time in the revered history of the PMA, a female graduate in the person of newly commissioned Navy Ensign Dionne Mae Umalla topped the Mabalasik Class as its Valedictorian. She admitted that what she wanted was to become a doctor but eventually enrolled in PMA upon her mother’s prodding. She said in her speech: “We became not what we wanted but what we needed to be to serve the country.” Twenty-five years from now, we may have our first woman Admiral in the Philippine Navy. We, men, should now get used to this state of affairs. After all, in our domestic life, we have been taking orders from our own wife who is our Commander In Chief. Hail to the Chief!

of the 4Ps is just and correct. Some criticize that there are parts of the program that are unnecessary, while some righteous parts are not included in the program. Second, the government must redeem its health and education services for the beneficiaries to achieve proper health and quality education for children. Now that the 4Ps is made permanent, there will no longer be a reason not to sustain the program. Lastly, implementation of this program must include observance of its effects—whether positive or negative—on poor families. It is not only important to ensure the security of the millions in funding this program, but to help our fellowmen grow in a more positive way and avoid things that deviate from the goals of the 4Ps. Brothers and sisters, the government stands with the Church in achieving the great goals of the 4Ps, but we must remain vigilant and see its proper implementation. Make it a habit to listen to Radio Veritas 846 Ang Radyo ng Simbahan in the AM band, or through live streaming at www.veritas846.ph and follow its Twitter and Instagram accounts @veritasph and YouTube at veritas846.ph. For your comments, e-mail veritas846pr@gmail.com.

www.businessmirror.com.ph

Opinion

Taken out of context

Dateline Nabunturan

BusinessMirror

Dr. Jesus L. Arranza

Tito Genova Valiente

ANNOTATIONS

MAKE SENSE

AST week, while watching TV talk-show host Cito Beltran discuss with his guests an interesting topic about taxes and cigarettes, a video footage of an earlier interview I had with TV 5, where I mentioned that raising the taxes on cigarettes would lead to smuggling, was flashed. As chairman of the Federation of Philippine Industries (FPI), it’s not unusual for me to be interviewed by the press on issues affecting consumers and the local industry. Thus, although only a portion of my interview with TV 5 was flashed during Beltran’s talk show, I thought nothing wrong of it. However, as Beltran’s discussions with his guests about raising the taxes on cigarettes as a source of funds for the government’s universal health-care program and a deterrent to smoking-related illnesses became even more engaging, my earlier interview with TV 5 became part of the show’s discussions as well. And not knowing, perhaps, the whole context of my interview with TV 5 as only a small portion of the interview was played, Beltran might have been lost on the rationale behind my statement about taxes on cigarettes and smuggling when he mentioned that he could not rationalize why raising the taxes on cigarettes could lead to smuggling. At that point, one of Beltran’s guests, Undersecretary Raul Lambino, suggested that my position on raising the taxes on cigarettes could lead to smuggling was based on a poor argument. While I am not blaming Beltran nor Lambino for their position on the issue, in relation to my position as they might have taken my earlier interview with TV 5 out of context, for clarity and for the general public’s interest, my statement on the issue was based on actual incidents and reports. As the country’s leading industry organization, FPI makes it a standard procedure to monitor the developments affecting the local industry. And as its chairman, I am usually informed of critical developments as they unfold in the industry sector. In fact, while doing my earlier interview with TV 5, the news crew was surprised when I told them that while I was being interviewed, a raid was being undertaken in a warehouse suspected to be illegally manufacturing cigarettes. And, of course, among the fastest ways to circumvent the law to avoid paying the high cost of duties and taxes are illegal manufacturing and smuggling. Remember the billions worth of cigarettes that were seized by the government with fake BIR stamps on it?

I am not against government moves to raise the taxes on sin products to fund its universal health-care program. In fact, in January 2018, when Congress hurriedly approved Mighty cigarette’s proposal for a twotiered tax system for tobacco, I was one of those strongly opposed to the tax system. Arguing that the two-tier tax system will create segmentation of the market and will contravene government moves to promote competition, I proposed to raise the taxes on cigarette products under a unitary tax system. I am happy, though, that when we were invited by the Philippine Bar Association together with the proponents of the two-tier tax system to discuss our positions on the issue, the association favorably considered and supported my position that the single tax system for tobacco would be more beneficial for the government. In fact, Mighty cigarette came out with a full page ad in one of the major papers admonishing my position on their proposed two-tier tax system for cigarettes. Indeed, it’s a sad reality that raising the taxes on cigarettes could lead to smuggling and other forms of illicit trade. And, most importantly, it is a bitter truth that while the government trumpets its universal health-care program, it has yet to find a sustainable source of funds for this ambitious program. For me, relying entirely from sin taxes as the source of funds for the universal health-care program could be bad. I already wrote a letter to TV talk show host Cito Beltran to be given the same opportunity to explain my position on the issue and to clarify the whole context of my earlier interview with TV 5. Meanwhile, I would like to thank Beltran for recognizing my initiatives to protect the interests of the local industry as FPI chairman, including my unrelenting campaign against smuggling. I personally know Beltran’s father, as we had the chance to meet on several occasions during the early 1970s. Dr. Arranza is the chairman of the Federation

of Philippine Industries and Fight Illicit Trade, a broad-based, multisectoral movement intended to protect consumers, safeguard government revenues and shield legitimate industries from the ill effects of smuggling.

HE roads leading to Nabunturan, a town in Compostela Valley, are wide and monumental. They snake below the edge of old hills and mountains, while below and far away are more mountains and ranges. The town itself, Nabunturan, would take its name from the Cebuano word for mountain, which is buntod. Mountains make up the area leading into the town and away from it. In my short stay in Nabunturan though, I felt there was no way out the town, not in the sense of being caught within its territories but in the manner that the town seemed to be a place all unto itself. Unless you ask someone from the place or check the map—the latter an act that can be so self-conscious and odd one does not do it—Nabunturan tells you: You are here, and there are no other places beside it. Nabunturan is young but it is also ancient. A new history guides us into the town. A short list of political administrators date the town only from the time a vital road was constructed in the late 1930s. That road would link the present town and the entire Compostela Valley to the greater Davao region. From Compostela itself would be formed this town of Nabunturan. The short history of Nabunturan comprises the narrow narratives of migrants mostly from Visayas and some from Luzon. When one therefore thinks of Nabunturan, one almost always connects it to Cebu and its language. In fact, one encounters an admission: The dominant language in the area is Cebuano.

Unless one imagines back to how old the mountains are surrounding the town of Nabunturan, one is left with the notion of a town recently formed, with developments rushing headlong from the years before World War II and surging from the ’70s to the present. We know, however, that Nabunturan is older than the waves of migrants now settled. There is also the problematic aspect of Nabunturan being settled anew, as if new stories about the place were woven over a strand of plots about its past. W hat then is the past of Nabunturan? Nabunturan has a past. It is not a tale that should be hidden but should be both uncovered and remembered. Two elements comprise the old Nabunturan: the languages that were there and the gold hidden in the mountains. If the languages are to be used for reckoning, then we learn about the other inhabitants of Nabunturan. They were the Mansaka, Mandaya, Kadi, Kalagan and the more commonly known Manobo. There are groups with languages described as “minor” that were in Nabunturan, but the new beginnings of the town have obscured them. It is said that gold brought the outsiders to Nabunturan. There are many versions of the tale.

NCE every decade or so, the world goes through a collective freak-out about rare earths. The suite of 17 elements strung toward the bottom of the periodic table are notable in that they’re essential in several high-technology applications such as wind turbines, electric cars and lasers, and largely made in China. That makes them a scary-sounding weapon in economic and diplomatic disputes. Back in 2010, China cut off exports of the minerals to Japan when the two governments were in dispute over ownership of some islands east of Taiwan. Now, state-owned Chinese media have been clamoring to do the same again in the trade war with the US. “If anyone wants to use products made of China’s rare-earth exports to contain China’s development,” the Global Times quoted an unnamed official as saying, the Chinese people “will not be happy with that.” The truth, however, is that rare

earths are a paper tiger. As we wrote last week, the 2010 case backfired spectacularly for China. Fearful of being caught short again, Japan Oil, Gas and Metals National Corp.—a government agency—went in with trading house Sojitz Corp. to provide a series of development loans to Lynas Corp., an Australian company looking to build a rare-earths supply chain outside China. The first loan, at an interest rate of around 3 percent, was astoundingly good value for a company that wouldn’t post operating cash flow for nearly five years. Australia’s Fortescue Metals Group Ltd., the world’s fourth-largest iron-ore

One strand tells of one member of an ethnic community who was part of the early settlers in the place. He brings a piece of gold and shows it to an outsider. The outsider shows interest and travels to Nabunturan and becomes part of the informal miners in the region. There is a sordid retelling of this tale: the outsider murders the bearer of gold so that the news about the prosperity of the land will not spread. It is ancient story of exploitation and the town does not tell it. But if one persists, one can listen to more stories about how, before the migrants from Visayas, bits of gold were being washed from the mountains down to the small rivers and streams coursing through the towns. Contained in the web page of the province of Compostela Valley are the following data and information: “In its 1998 report, the Bureau of Mines and Geosciences, Minerals News Service in Region 11, declared that Compostela Valley has gold deposits of 36,328,699 metric tons of gold, one of the biggest in the world.” The page also mentions how in 1997, “a technical report of the United Nations Industrial Development

Organization cited the strategic economic value of the gold ore in Mount Diwalwal, Compostela Valley, as one that is still easily accessible and that contains the metal in concentration from 25 up to 100 grams per ton, approximately 25 to 50 times more than the famous gold ore of the Witwatersrand Basin in the Republic of South Africa.” Jarell Serencio, a keen filmmaker from Davao, has a film called Siyudad sa Bulawan (City of Gold). It is a story of three young brothers who participate in the ongoing gold rush in Mount Diwalwal, in Compostela Valley. The film places the brothers in the ordinary and regular situations that children of their age are supposed to be in—the goodness of the school and the safety of home. The film ends with the brothers joining the men in the mines, all looking for the gold that brought strangers to the mountains. A new Senate bill has been passed seeking a new name for the region where Nabunturan is. The bill will change the name of Compostela Valley to “Davao de Oro.” That new name will bring us back where it all began—with the gold.

E-mail: titovaliente@yahoo.com

Robert de Niro’s bagel caper signals ad land shift By Alex Webb Bloomberg Opinion

HEN was the last time that, when given the option to skip, you watched one of those ads before an online video through to the end? For me, it was probably British baker Warburton’s latest pre-roll spot for its bagels. That wasn’t because I have any particular fondness for the doughy treat—I don’t. It was just an entertaining ad: Robert de Niro turns up as a gangster to pull off a Goodfellas-style heist. It’s pretty funny. The success of the ad lies not so much in its precise targeting, but in a silly joke about mobsters that appealed to me enough to grab my attention. For all the programmatic data ad agencies use, the creative part still matters. As Internet users become inured to the deluge of online

ads, brands have to become smarter at appealing to consumers. Beancounters such as Accenture Plc., Deloitte Consulting Llc. and Ernst & Young Llp. have in recent years wrested business away from adland’s incumbents—WPP Plc., Publicis Groupe SA and Omnicom Group Inc.—because of their deep digital know-how. But if they are to grow further, they are going to need to think more seriously about expanding their creative offering, where they have scant presence right now. So far, they have struggled to hire creatives, who are more likely to be wanted to work for a hip Madison Avenue name than for an accounting firm. So dealmaking could be the best option. Accenture seems to have gotten the message faster than most. It is targeting another $1 billion of acquisitions this year, with a focus on expanding its ad offering. The firm made its biggest gambit

We all need to calm down about rare earths By David Fickling | Bloomberg Opinion

Friday, May 31, 2019 A11

producer that was then getting operating margins in the region of 50 percent, had to pay as much as 8.25 percent at the time for its borrowings in the US junk bond market. The result worked out well for all three players. China’s share of rare-earths production has fallen from 97 percent of the world’s supply in 2010 to around 71 percent in 2018. Lynas is now the secondbiggest producer globally of neodymium-praseodymium, two rare earths crucial for making highstrength magnets, with about a quarter of the global market. Its sales agreement to Sojitz alone represents about 30 percent of Japan’s rare-earths demand. Lynas’s American cousin was less fortunate. Molycorp Inc. sought to turn the Mountain Pass mine in the Mojave desert into another nonChinese source of rare earths, but things fell down—and down—over financing its roughly $1.7 billion in capital expenditure. An application for a $280-million loan guarantee

from the US Department of Energy was unsuccessful; $650 million in senior secured notes were issued at 10 percent, and Molycorp then had to seek another $400 million of support from distressed-debt fund Oaktree Capital Group Llc. Ultimately, the whole thing ended in bankruptcy court, and Mountain Pass is now owned by two US funds and Leshan Shenghe Rare Earth Co., a Chinese rare-earths processor. All that investment wasn’t a complete waste, though. While Mountain Pass’s new owners now export semi-processed ore for refining in China, full processing is due to restart in California by the end of next year. Lynas, meanwhile, last week signed a joint venture agreement with Blue Line Corp. to build a rival plant in Texas. If there’s anything that’s going to accelerate the shift to a wholly American supply chain, it’s the threat of a Chinese export ban. As is often pointed out, most

into the creative space when it bought New York-based ad agency Droga5 last month. But the likes of Deloitte, EY and KPMG have as yet made only tentative steps, and could do much more. With many of the incumbents seemingly blindsided by the digital onslaught, valuations in the advertising industry are low. A deal to acquire one of the giant ad holding companies might even be feasible—both Publicis and WPP are trading near their lowest valuations in a decade. Consider WPP. The world’s largest agency is a year into reorganization under new CEO Mark Read. As part of that process, it’s preparing to sell a majority stake in its market research unit, Kantar, for as much as £3.5 billion ($4.4 billion). That would value the division at about 10 times Ebitda. After stripping out Kantar, WPP itself would trade at an enterprise value of

just seven times Ebitda. In other words, WPP is trading at a discount to what is supposed to be one of its worst-performing units. That discrepancy could well attract the attention of a brave executive team. Sure, there would be huge execution risks, not least how to untangle its 134,000 employees. And it might be hard for a consultancy to retain WPP’s media-buying operations since big agencies’ media-buying practices are being probed by the Federal Communications Commission. (It would also create a conflict of interest with the consultancies, many of which were responsible for auditing such practices.) But teaming up with a private equity consortium could resolve those concerns: a breakup would see the creative agencies go to a hungry consultancy firm, with private equity taking the low-margin, but predictable, media-buying business.

rare earths aren’t in fact rare. Lanthanum and cerium are as abundant as copper and lead, and are used in such pedestrian applications as pool cleaner and cigarettelighter flints. Even the more prized magnetic elements such as neodymium, dysprosium, praseodymium and samarium are humdrum enough that Apple Inc. uses rare-earth magnets to make its power cables stick in place. Pottery enthusiasts can pick up neodymium oxide for around $50 a kilogram online to give a blue tint to their glazes; that’s probably a bit more neodymium than you’d find in a typical electric car. Supply is particularly generous when you set it against the most crucial and alarming segment of demand: military hardware. This amounts to no more than around 500 metric tons a year, according to a US Department of Defense study, equivalent to what you’d get from Lynas’s plant in about 10 days. Solvay SA, a French chemicals

company, recently set up a demonstration project to produce nearly 200 tons a year of rare earths just from recycling light bulbs. In hindsight, the US government might have been wise earlier this decade to provide the loan guarantees to put Mountain Pass on a more solid footing. It might also be sensible now to use some diplomatic muscle to encourage the China-skeptical government in Malaysia to resolve its current dispute with Lynas, which is currently a far bigger threat to diverse rareearths supplies than Beijing’s saber-rattling. Still, Washington’s relaxed approach to the 2010 flap was, in general, the right one. Supplies of rare materials are, by their nature, concentrated in a few countries. Unless we’re truly heading to an autarkic war footing, those supply chains will continue to crisscross the globe. Most of us will barely have to think about them until the next panic breaks out.

2nd Front Page BusinessMirror

A12 Friday, May 31, 2019

www.businessmirror.com.ph

EO allows 3rd parties in oil exploration deals

By Bernadette D. Nicolas

@BNicolasBM

HERE is no stopping now the Philippine National Oil Co.-Exploration Corp. (PNOC-EC) from pushing through with its pending farm-in deal with China National Offshore Oil Corp. (CNOOC) for the Chinese firm’s entry into Service Contract (SC) 57 in Calamian northwest Palawan. This after President Duterte signed Executive Order 80 on May 28. The new EO will finally allow PNOC-EC to enter into farm-in/ farm-out agreements through which third parties can participate in the SC awarded by the government to PNOC-EC. “In all cases, PNOC-EC shall enter into farm-in/farm-out agreements with reputable, technically competent and financially capable entities,” read the newly signed EO, a copy of which was released to

reporters on Thursday. Upon the recommendation of the Department of Energy (DOE), the new EO also repealed EO 556 (Series of 2006), which prohibited the farm-in farm-out of contracts awarded by any government agency, including the contract for exploration, development, production of crude oil from the Camago-Malampaya Reservoir. The government shifted to a stringent bidding procedure in forging partnerships with interested parties.

Under the farm-in/farm-out policy, third-party participation is allowed to spread the risks inherent in oil and gas exploration, development and production. The entity acquiring the participating interest considers the transaction as a “farm-in,” while the entity transferring such interest considers the transaction as a “farm-out.” For the selection process of PNOC-EC to conform to the best practices, the DOE, in consultation with Governance Commission for government-owned or -controlled corporations (GCG), will issue rules and regulations specifying the selection process to be observed by the PNOC-EC, according to the new EO. Every farm-in/farm-out agreement with PNOC-EC shall only be in effect upon the approval of the DOE. The DOE shall also submit regular reports to the President on the implementation of EO 80, and copy furnished the GCG. On September 15, 2005, the DOE awarded SC 57 to PNOC-EC to conduct petroleum exploration and development in Calamian. PNOC-EC has already entered into a farm-in agreement with CNOOC and Jade-

‘More funds from sin tax should benefit universal health care’ By Butch Fernandez

@butchfBM

DDITIONAL revenue expected to be raised from the imposition of higher taxes on tobacco products should be “exclusively and solely used” to bankroll the government’s universal health care (UHC) pro-

gram, Senate Minority Leader Franklin M. Drilon suggested on Thursday. Drilon confirmed plans to formally move for the adoption of this provision at the resumption of plenary deliberations as the Senate inched closer to take a final vote to pass the UHC bill before Congress adjourns next week.

FRONTAL SYSTEM AFFECTING NORTHERN LUZON as of 4:00 pm - May 30, 2019

A ffirming his full support for the bill certified as urgent by Malacañang, Drilon signified his intent to propose that “increases in the excise tax on tobacco as a result of the ‘sin’ tax that we are working on now should be devoted solely to the universal health program and benefit the entire country.” Continued on A2

stone Energy Inc., a deal which was already submitted to Malacañang, when EO 556 was issued in 2006. CNOOC was reported to hold more than half of the shares at 51 percent, followed by PNOC-EC at 28 percent, then Jadestone at 21 percent, according to the farm-in agreement. Prior to the visit of Chinese President Xi Jinping in November 2017, Energy Secretary Alfonso G. Cusi said in a Palace briefing that SC 57 is already up for the President’s signature and that PNOC-EC can only continue the agreement or accept the CNOOC proposal until the issuance of the new EO amending EO 556. It was also reported last year that the government needed to act on another pending farm-in deal, this time with Spanish energy giant Repsol SA in SC 59, or the West Balabac petroleum block in southwest Palawan. Last November, the Philippines and China signed an agreement on cooperation on oil and gas development in the West Philippine Sea, along with at least 28 other accords, after denials that an oil-exploration deal is in the works in time for the Chinese president’s visit.

FROM WAR ZONE Some of the 16 overseas Filipino workers repatriated from Libya —the biggest batch so far—arrive at the Naia Terminal 3 on Thursday via Emirates Airline flight EK 332. They were among the few Filipinos who have heeded the constant appeals of the Department of Foreign Affairs (DFA), through Chargé d’Affaires Elmer G. Cato, to leave their places of work or residence in parts of Libya that are now a war zone. NONIE REYES

‘FAMILY PLANNING PROGRAM CRUCIAL TO EASING POVERTY’ By Elijah Felice E. Rosales @alyasjah

Senate SOT bill to legalize ‘Endo’ scheme–KMU

ILITANT labor group Kilusang Mayo Uno (KMU) warned on Thursday that the “treacherous railroading” of the passage of the Senate’s version of the Security of Tenure (SOT) bill will legalize “Endo,” or the end-ofcontract scheme, through manpower agencies. Various labor groups earlier denounced on Wednesday the cancellation of the harmonization of the House of Representatives and the Senate versions of the bill, saying that they will not support the bill if only the Senate version will be considered as it is not the law that the trade unions and workers had envisioned for so many years. “The passage of [the Senate] version of Security of Tenure bill is not the end of Endo. Rather, this version of the SOT bill will institutionalize and legitimize contractualization through manpower agencies,” KMU Secretary-General Jerome Adonis said in a statement. Labor groups have slammed Senate Bill 1826, which was already passed on third and final reading, for not prohibiting fixed-term and multilayered contracting. The groups are also criticizing the bill’s provision on penalties and fines for employers and agencies engaged in illegal labor-only contracting as weak, adding that the imposition of penalties on erring agencies and employers are not categorically stated, leaving room for circumvention. KMU has also once again expressed its frustration over the President’s purported failure to end contractualization. In September 2018, President Duterte certified the SOT bill urgent, which fast-tracked the interpellation of the bill. On Labor Day 2018, the President signed Executive Order 51 prohibiting illegal contractualization, after mounting pressure from workers for Duterte to make good on his campaign promise to end contractualization. However, critics said EO 51 will not really end contractualization in the country. “Department Order 174 issued by the Department of Labor and Employment and Duterte’s EO See “SOT bill,” A2

HE National Economic and Development Authority (Neda) said the government is working double time to fully implement the country’s population and family planning program, which could help cut poverty incidence. Socioeconomic Planning Secretary Ernesto M. Pernia said the government is beefing up efforts to implement measures under the National Program on Population and Family Planning. The NPPFP contains family planning interventions that seek to improve the lives of households. Pernia said the full and effective implementation of the NPPFP will be crucial in hitting the government’s objective of bringing down poverty incidence to 14 percent by 2022, from 21.6 percent in 2015. “Family planning interventions will contribute to improved welfare of Filipino families and poverty reduction, as they enable couples to plan and invest in their children better. We aim to reduce poverty incidence to 14 percent by 2022, from 21.6 percent in 2015,” he said in a statement. One of the steps taken by the Duterte administration toward better family planning is the issuance last December of Executive Order (EO) 71 transferring the Commission on Population (Popcom) to the Neda from the

Seipi. . .

Continued from A1

incentive should the Trabaho bill get approved. After which, they will be given up to five years to transition to CIT. Semiconductor firms are in favor of raising the GIE rate to 7 percent for as long as they retain their incentives. In anticipation of a passage, Seipi forecast shipments of electronic goods, the country’s top export products and one of the chief dollar earners, to grow flat at 3 percent this year. On top of domestic uncertainties, the industry is taking damage from the trade conflict between the United States and China, which are top buyers of Philippine electronic parts and units. Data from the Philippine Statistics Authority (PSA) reported

Department of Health (DOH). The presidential law also renamed the Popcom into the Commission on Population and Development, and promoted the rank of the executive director to the level of undersecretary. In the process, EO 71 also turned CPD employees into development workers, aside from being health personnel. “It is important to note that the transfer and renaming of the Popcom make CPD staff not only health workers, but also development workers,” Pernia said. “This dual role means that, besides moving our family planning program faster and more widely, they have to ensure its alignment with the country’s development objectives as spelled out in the Philippine Development Plan 20172022. They have to be highly motivated, agile and alert,” he added. Further, EO 71 states the NPPFP must be delivered both by the CPD and the DOH. The full implementation of the NPPFP was approved by President Duterte during the Cabinet meeting in March. As a major component of the Responsible Parenthood and Reproductive Health law, the NPPFP intends to avert unplanned and unwanted pregnancies by enabling couples and individuals to attain their desired number of children within the context of responsible parenthood.

exports of electronic products in the first quarter declined 1.55 percent to $8.84 billion, from $8.98 billion during the same period last year. Further, Seipi is anticipating fluctuations to take place within the year. For the rest of the year, the industry is expecting demand for semiconductors to remain flat due to the slowing appetite for smartphones. Many existing locators have abandoned their plans to expand in the Philippines, as they can no longer wait for the final policy on corporate tax and incentives. According to Lachica, most of them located their expansion plans to regional competitors China, Vietnam and Thailand. In total, he said these projects would have amounted to over $1 billion in investments and created 10,000 new jobs.

www.businessmirror.com.ph

BusinessMirror

Friday, May 31, 2019 A13

A14 Friday, May 31, 2019

BusinessMirror

www.businessmirror.com.ph

BusinessMirror

Friday, May 31, 2019 A15

A16 Friday, May 31, 2019

BusinessMirror

www.businessmirror.com.ph

BusinessMirror

Friday, May 31, 2019 A17

A18 Friday, May 31, 2019

BusinessMirror

www.businessmirror.com.ph

In the ad material of Notice of filing of Application for Alien Employment Permits published on April 17, 2019, the Nationality of Mr. Hendri Wijaya under RUNNINGMAN CORPORATION should have been read as Indonesian and not as published. In the application published on May 28, 2019, the position of Ms. Kluza, Anna Teresa under OCEANAGOLD (PHILIPPINES), INC. should have been read as Water Management Superintendent and not as published. If you have any information / objection to the above mentioned application/s, please communicate with the Regional Director thru Employment Promotion and Workers Welfare (EPWW) Division with Telephone No. 400-6011.

ATTY. ANA C. DIONE, CPA REGIONAL DIRECTOR

Companies BusinessMirror

Editor: Efleda P. Campos

PAL expects making profits this year after $65.87-M loss in 2018

By Lorenz S. Marasigan

@lorenzmarasigan

AL Holdings Inc., the operator of legacy carrier Philippines Airlines, expects to revert to the black in 2019, as it implements cost-cutting measures throughout the year, including the reduction of its flights to destinations with low-value proposition. Jaime J. Bautista, the company’s president, said his group expects to incur profits by yea-end, after posting a comprehensive loss of $65.87 million in 2018 due to spikes in fuel expenses and stiff competition. “This year, we hope to improve

our profitability by reducing flights to destinations where there is excess capacity like the Middle East. We are also looking at stopping flights to domestic routes, where we were not able to recover our expenses. We will implement strict cost-saving mea-

sures so that we will at least reduce expenses and be profitable this year,” he said during the annual stockholders’ meeting of the company on Thursday. Bautista said the aircraft for these destinations with reduced flights will be used for wet leases, which essentially means the aircraft will be leased together with the crew, maintenance and insurance. They can also be used for charter agreements. “These are ad hoc reduction in flights for us to maximize the utilization of the airplanes,” he said. PAL aims to increase its average passenger load factor by as much as four points to 82 percent from around 78 percent in 2018. Its new investor ANA Holdings can also help in turning the com-

pany’s bottom line around. “There are many other areas in operations where we can collaborate, so we can benefit from the experience of ANA and vice versa,” Bautista said. Ryuhei Maeda, a senior advisor at ANA Holdings, was elected on Thursday to PAL’s board. In another development, the company approved the increase of its authorized capital stock from P13.5 billion to P20 billion to prepare for its impending share sale, which could be slated for next year. “Hopefully, but we still don’t have a definite date. We just got the approval of the stockholders for the increase in capital stock so that we will have flexibility,” Bautista said. “This is just in preparation for a possible re-IPO [initial public offering].”

Stock-market accounts breach 1M for first time By VG Cabuag @villygc

HE number of stock-market accounts broke past the 1 million mark based on the 2018 Stock Market Investor Profile report of the Philippine Stock Exchange Inc. Total stock-market accounts reached 1.08 million, up by 25 percent from the 868,810 accounts in 2017. This was spurred by a 60-percent increase in the number of online accounts to 625,763 this year from 388,864 the previous year. “It may have taken some time to breach this 1 million milestone, but as they say, better late than never. The advent of online trading has proven to be the catalyst for the rapid growth of stock-market investors in the last five years,” PSE President and

CEO Ramon S. Monzon said. “While 1 million is a big number in absolute terms, it is just a small percentage of our population. We need to continue and intensify our investment-literacy initiatives and target to get an additional million of stock-market investors in a shorter period of time,” Monzon said. Retail investors owned most of the stock-market accounts, cornering 97 percent of the total accounts while institutional investors held the remaining. About 98 percent of the total accounts were held by domestic investors while the rest were owned by foreign investors. The gap between male and female investors was further reduced with 51.6-percent male investors compared with 48.4-percent female investors. In 2017, there were 54.6

percent and 45.4 percent male and female investors, respectively. In terms of age, the most notable change was the increase in the percentage share of investors in the 18 to 29 age group. They comprised 21 percent of total stock-market account holders from just 16 percent in 2017. Those in the 30 to 44 age range accounted for 43 percent of investors, while the 45 to 59 and 60 and above had a 21.6-percent and 13.9-percent representation, respectively. Income-wise, 62 percent of investors earned less than P500,000 annually, followed by those who earned between P500,000 and P1 million annually at 21 percent and those with over P1-million income at 16 percent. Most investors were locally employed and made up for 65.6 percent

of investor count. The rest of the investors were self-employed, retired, unemployed, overseas Filipino workers and students. When it came to location, the majority of investors were still based in Metro Manila as they accounted for 62 percent of the total retail-stock investors. Luzon had 21 percent of investors, while Visayas and Mindanao each had 9 percent and 4 percent of the investor count. “Some people still have stereotypes of stock-market investors which are debunked by our latest investor profile report. Investors nowadays are younger, and a significant number of them are women. It also shows that it is not necessary to have a big salary to be able to invest. What is important is to know how to set aside money for investment,” Monzon said.

DMCI Power Q1 power sales volume grows 20%

ALES of off-grid power generator DMCI Power Corp. posted double-digit growth in the first quarter, on strong take-up of its electric cooperatives. The company said total volume sold reached 76 gigawatt hours from 63 GWh last year, a 20-percent increase driven by the strong take-up of Oriental Mindoro Electric Cooperative (Ormeco), Palawan Electric Cooperative (Paleco) and Masbate Electric Cooperative (Maselco). Energy sales to Ormeco surged 39 percent from 11.39 GWh to 15.87 GWh mainly due to the rehabilitated 69-kV transmission line from Calapan to Puerto Galera. “The National Power Corp. completed the rehabilitation of the transmission line in May last year. Since then, we have been able to maximize the generation capacity of our power plant,” DMCI Power President Nestor D. Dadivas said. Dispatch to Paleco rose 19 percent from 27.83 GWh to 33.21 GWh as tourist arrivals continued to boost energy consumption in the area. The Provincial Tourism Office said Palawan tourist arrivals from January to March soared 20 percent to 1.16 million. Meanwhile, strong economic activities in Masbate led to a 12-percent jump in dispatch to Maselco from 26.64 GWh from 23.76 GWh. “We are confident that sales volume to our offtakers will continue to grow in the ensuing months of 2019,” Dadivas said. Lenie Lectura

Friday, May 31, 2019

DENR, MPIC partner to rehabilitate Manila’s 20 ‘filthiest’ esteros By Jonathan L. Mayuga @jonlmayuga

HE Department of Environment and Natural Resources (DENR) recently announced its partnership with the MVP-led Metro Pacific Investment Corp. (MPIC) for the rehabilitation of 20 of Manila’s dirtiest esteros. The partnership under the DENR’s Adopt-an-Estero/Water Body program will boost the ongoing rehabilitation of Pasig River and Manila Bay. The five-year partnership covers the adoption by MPIC of the Esteros de Vitas, San Lazaro, Kabulusan, Magdalena, Binondo, Dela Reina, Sampaloc, San Sebastian, San Miguel, Valencia, Uli-Uli, Paco, Pandacan, Tanque, Balete, Provisor, Concordia, Sunog Apog, San Antonio Abad and Quiapo. A memorandum of understanding (MOU) was signed by Environment Secretary Roy A. Cimatu and MPIC President and CEO Jose Ma. Lim to formalize the deal. The environment chief said the collaboration is a continuation of the battle cry for Pasig River: “rehabilitating a river, restoring life and reviving the pride.” “Together, we will continue to clean every estero, assess their water quality and identify sources of pollution,” Cimatu said during the MOU signing held at the DENR central office in Quezon City. “We will take appropriate actions

against establishments discharging untreated wastewater to prevent them from further poisoning these waterways,” he added. Lim said the MPIC—through its subsidiary Maynilad Water Services Inc.—“remains fully committed to protecting the environment.” “Upon acknowledging the objective of the DENR to promote stewardship among the private sector, MPIC is set to assist government agencies in improving the water-quality parameters of the country’s water bodies,” Lim added. Under the MOU, the MPIC agreed not only to fund the rehabilitation and water-quality assessment of the adopted esteros, but also spearhead the mobilization of neighboring schools and communities for the cleanup activities. Maynilad will also fast-track the rehabilitation of its sewer lines, intensify the connection of domestic and non-domestic customers to the existing sewerage network, install collector pipes and easements, and conduct information and education campaigns related to proper wastewater treatment and disposal. The DENR will provide the MPIC with all the relevant data for the conduct of the water-quality assessment study, issue the necessary permits and approvals to enable the MPIC and Maynilad to perform their responsibilities, and take appropriate action against violators within the adopted esteros.

NPC seeking bids for two diesel-hybrid systems in Bohol By Lenie Lectura

@llectura

HE National Power Corp. (Napocor) is soliciting bids for the design, supply and installation of two 50-kilowatt (kW) solar PV-diesel hybrid systems for the islands of Balicasag and Cuaming in Bohol province. This developed after the National Power Board, chaired by the Department of Finance, approved the terms of reference for the projects. The board has approved a budget of P56 million. Currently, Balicasag and Cuaming, which both have 24/7 power

service, are being serviced by Small Power Utilities Group (SPUG) plants with dependable capacities of 192 kW and 160 kW, respectively. Both tourist hot-spot islands have less than 100-kW peak demand. “NPC has strengthened its plans on renewable-energy development not only for sustainability measures, but also to lower the power rates in off-grid areas,” Napocor President and CEO Pio J. Benavidez said. In its 2020 Missionary Electrification Plan, Napocor said there are 17 areas programmed for hybridization, eight of which are new areas with solar PV and battery capacities.

Smart expands retail capacity with Shopee tie-up

S JOINT VENTURE IN BATANGAS Officials of Padre Garcia Multi-Purpose Cooperative (PGMC) and Demeterland Development Corp. sign a joint-venture agreement for the launch on September 27, 2019, and development of the Villa Verde Estates in Padre Garcia, Batangas. Signing the agreement are (seated, from left): PGMC Vice Chairman Celso A. Araño; Agnes Kalaw, VP for Sales of Demeterland; Pauler Panganiban Ani, Demeterland president and CEO; and PGMC Chairman Vic Reyes.

MRC Allied puts on hold plan to venture into LNG

RC Allied Inc. has put on hold plans to venture into the liquefied natural gas (LNG) business. “It has been recommended by the technical team of MRC that the LNG projects of the company be put on hold considering that the Department of Energy [DOE] is finalizing its guidelines and implementing rules and regulations [IRR] governing LNG projects. In the meantime, MRC will be focusing its efforts on completing its existing solar PV projects,” the MRC

said in a disclosure on Thursday. MRC A l lied and China Energy Engineering Group Guangdong Power Engineering Co. Ltd. (GPEC) signed in November 2017 a memorandum of understanding (MOU) to invest, develop, construct and operate LNG projects in the Philippines. Both parties were expected to enter into discussions and conduct due diligence to explore the possibility of doing LNG projects a year after the MOU was signed. “There is a growing interest and

increasing excitement about prospects in the LNG industry in this country. We are looking forward to having solid partnerships with foreign investors,” MRC Chairman Carlos Jose Gatmaitan said. “We are likewise excitedly waiting for the government to come up with the legal and regulatory framework that will govern the LNG industry. We heard that the Department of Energy will release the rules very soon,” MRC had said in 2017. Lenie Lectura

MART Communications Inc. (Smart) is widening its reach and making its services more accessible to millions of customers by partnering with e-commerce platform provider Shopee Philippines Inc. (Shopee). “E-commerce as a platform has always been an important channel through which we can serve the loading needs of our customers. This partnership with Shopee adds to our existing engagements with other e-stores both large and small,” Smart team told the BusinessMirror on Thursday. Their tieup requires Smart, TNT and Sun prepaid subscribers to log on to Shopee mobile app, web site or mobile site, input their mobile number, choose their preferred load variant and pay. They can settle their load purchase through debit or credit card, remittance centers, overthe-counter bank transactions or online payment options. “Filipinos love to shop online, that is why we believe that this partnership will help us achieve our goal to provide more customers the convenience of reloading their Smart prepaid phones anytime, anywhere, with just a tap of a finger,” said Precy Katigbak, vice president and head of national key accounts at Smart. Seeing that more of their customers get into the habit of online shopping, the team expects that making Smart load products available through the likes of Shopee will continue contrib-

uting significantly to the company’s prepaid sales. Shopee Philippines Associate Director Martin Yu noted their excitement of such collaboration with the telco giant that enables its users to buy prepaid loads via their platform. Since Filipinos are considered one of the most engaged mobile users in the world, he said they are “delighted to once again cater to their needs with this partnership.” Customers can go to the Shopee homepage and look for the Load and eVouchers icon, or visit http://bit.ly/ShopeeLoadP to view the products available from Load Central and Smart. Also, they can download the Shopee app for free via the App Store or Google Play. “We look forward to more collaborations with Smart as we continue to strengthen our position as the online shopping destination of choice in the Philippines,” Yu said. The partnership between Smart and Shopee came into fruition with the support of Uniwiz Trade Sales Inc. (LoadCentral). “We are happy to be part of the alliance of these two trusted technology brands in the country,” said Jeff Boone, general manager at LoadCentral. Smart is a fully owned wireless communications and digital services subsidiary of PLDT Inc. It provides prepaid, postpaid and broadband services to its millions of subscribers under the brands Smart, TNT and Sun. Roderick L. Abad

Companies BusinessMirror

Friday, May 31, 2019

New power projects to boost Alsons’s 2019 income by 30%

By Lenie Lectura

@llectura

HE new power projects lined up for the year will help boost the revenues of Alsons Consolidated Resources Inc., (ACR) of the Alcantara Group by 30 percent, a top official said on Thursday. Robert Yenko, ACR chief financial officer, said after the company’s stockholders’ meeting that “revenues will be at least 20 percent better this year than last year.” Two baseload plants will come onstream including one that will start commercial operations in the second half of 2019. The second unit of the coalfired power plant of Sarangani Energy Corp. (SEC) in Maasim, Sarangani, will start operating later this year, with an additional 105 megawatts (MW) that will benefit 3 million consumers in South Cotabato, Davao del Sur, Zamboanga del Norte, Zambo-

anga del Sur, Misamis Oriental and North Cotabato. Also, the San Ramon Power Inc. (SRPI) coal-fired power plant in Zamboanga City will finally start construction in the fourth quarter this year after naming the engineering, procurement and construction (EPC) contractor. These prospective baseload plants have nearly all of their capacity fully contracted. ACR EVP Tirso G. Santillan also said the company expects “good prospects for this year.” “SEC 2 will add 105 MW to our capacity. There will be some additional revenues and income arising

from that,” said Santillan, adding its property business will also contribute to the company’s topline. Yenko said the ancillary services procurement agreement with the National Grid Corp. of the Philippines (NGCP) will boost company revenue. “Another part to that is additional revenue from ancillary services from one of our diesel plants. That will also contribute to the better prospects for the year…On the cost, because of cost-cutting measures and lower debt, bottom line will also be better. We think this year will be better than last year,” he said. Last year, the NGCP signed with ACR’s Western Mindanao Power Corp. (WMPC) for its 100-MW diesel plant in Zamboanga City to provide the grid operator with dispatchable generating capacity, reactive power support, and black start capability that would stabilize the power grid in the Zamboanga Peninsula. Also last year, ACR tendered a proposal for its Southern Philippines Power Corp. (SPPC) diesel plant in Sarangani to provide ancillary services to the NGCP in order to help stabilize the power grid in Region 12.

ACR continues to pursue its initiatives in renewable energy with runof-river power projects in Mindanao and Visayas. “Our first renewable venture— the Siguil Hydro project—is on-track and we expect to go full blast with civil works later this year as we target the start of commercial operations in 2022,” Santillan said. The company also plans to develop specific sites with a hydro potential totaling about 200 MW in specific sites including the Bago River in Negros Occidental, the Sindangan River in Zamboanga del Norte, and locations in Davao Oriental, Maitum Sarangani, the two Agusan provinces, and Surigao del Sur. With the start of commercial operations of SEC’s second plant later this year, ACR will have a total installed capacity of 468 MW by the end of 2019. Once the Siguil hydro project begins operating in the next three years and when SRPI goes onstream soon after, the company is expected to account for around 25 percent of Mindanao’s projected peak power demand.

BPO industry growth seen slowing down

HE business-process outsourcing (BPO) industry is expected to see some modera-

tion in its growth rate in the coming years, experts said, as its expansion plateaus after years of rapid boom.

In a recent forum in Makati City, Moody’s Senior Credit Officer Christian de Guzman said the

country’s BPO industry—which has been one of the economy’s growth driver and dollar source—is expected to slow down to a singledigit pace of growth in the coming years. “We don’t expect it to grow by double digits any longer. I think it’s also fair to say that we won’t be seeing the same rise in BPO receipts, as we’ve seen in the past,” de Guzman said. Earlier this year, Socioeconomic Planning Secretary Ernesto Pernia was quoted to have said that the BPO sector grew at 12.3 percent in 2017. The Moody’s senior official said part of reason for the expected slowdown is the volume of employable Filipinos in the work force for the ever-evolving sector. “I’m not going to say the word tapped out on human resources. Certainly there are 100 million people here. But in terms of the pipeline that feeds into this industry, the college graduates. Can you continue to increase that pipeline to go into this sector? I think that is one question mark going forward,” he said. “I think the BPO sector will continue to be an important growth driver, but not to the same extent as before,” he added. National Economic and Development Authority Undersecretary Rosemarie Edillon admitted they consider the BPO industry a “maturing industry” and are expecting a “plateauing” of growth in the coming years. “We’re still hopeful about the industry. The key is to put in more innovations into the sector,” Edillon said, adding a very key factor to that is really bringing the use of supply of graduates and have the capability to bring that sector to the next level. “So we think the key there is to have this human capital with this new skills with this new knowledge set. And we think that the first thing you need to do is, there has to be scale. You need to have this operation of human capital that’s necessary for the BPO to get to that next level,” she said. Union Bank of the Philippines Chief Economist Carlo Asuncion said the government should be looking at other sectors.

www.businessmirror.com.ph

PSE STOCK QUOTATIONS

May 30, 2019

Net Foreign Stocks Bid Ask Open High Low Close Volume Value Trade (Peso) Buy (Sell) FINANCIALS ASIA UNITED BDO UNIBANK BANK PH ISLANDS CHINABANK EAST WEST BANK METROBANK PB BANK PHIL NATL BANK PSBANK RCBC SECURITY BANK UNION BANK BRIGHT KINDLE BDO LEASING COL FINANCIAL FERRONOUX HLDG IREMIT MEDCO HLDG NTL REINSURANCE PHIL STOCK EXCH

58.95 136.7 79.2 26.65 11.42 72 13.2 59.7 57.1 26.5 175.3 59.6 1.17 2.2 18.76 4.5 1.34 0.48 1.01 182.5

59.5 136.8 79.4 26.7 11.44 72.45 13.44 59.75 57.7 26.6 176 60.15 1.24 2.25 18.8 4.56 1.39 0.49 1.02 185

57.5 135 78 26.75 11.5 71.8 13.2 58.9 57.6 26.55 175 60 1.17 2.2 18.8 4.49 1.34 0.45 1.01 185

59.5 138.3 80.15 26.75 11.58 72.55 13.2 60 57.75 26.55 177 61 1.17 2.25 18.8 4.56 1.34 0.495 1.03 185

57.05 133.8 77.95 26.6 11.44 71.8 13.2 58.8 57 26.5 175 59.55 1.17 2.2 18.8 4.43 1.34 0.45 0.99 182.5

59.5 136.7 79.2 26.7 11.44 72 13.2 59.75 57 26.5 175.3 59.6 1.17 2.25 18.8 4.56 1.34 0.49 1.01 182.5

16450 2690520 2095270 119700 518400 2163570 1800 241280 2190 31000 310900 30870 4000 14000 400 36000 2000 2430000 237000 600

965442.5 367845000 166416138 3190710 5964730 156090030.5 23760 14326130.5 125205 821700 54697710 1855809.5 4680 31450 7520 161930 2680 1169100 239740 110130

INDUSTRIAL ALSONS CONS ABOITIZ POWER BASIC ENERGY FIRST GEN FIRST PHIL HLDG MERALCO MANILA WATER PETRON PETROENERGY PHINMA ENERGY PHX PETROLEUM PILIPINAS SHELL SPC POWER VIVANT AGRINURTURE CNTRL AZUCARERA CENTURY FOOD DEL MONTE DNL INDUS EMPERADOR SMC FOODANDBEV ALLIANCE SELECT GINEBRA JOLLIBEE MACAY HLDG MAXS GROUP MG HLDG PEPSI COLA SHAKEYS PIZZA ROXAS AND CO RFM CORP ROXAS HLDG UNIV ROBINA VITARICH VICTORIAS CONCRETE A CEMEX HLDG EAGLE CEMENT EEI CORP HOLCIM MEGAWIDE PHINMA TKC METALS VULCAN INDL CHEMPHIL CROWN ASIA EUROMED LMG CHEMICALS PRYCE CORP GREENERGY INTEGRATED MICR IONICS PANASONIC SFA SEMICON CIRTEK HLDG

1.38 35.3 0.295 22.95 78.75 379 22.15 6.11 4.76 2.35 11.9 41.65 6.5 15.62 14.36 15.04 14.14 5.6 10.16 7.49 105.3 0.71 42.55 282 9.43 12.9 0.191 1.23 13.16 1.53 4.9 1.9 163 1.23 2.51 65.4 2.49 16.02 9.95 13.76 20.25 9.2 1.19 1.24 110.1 2.04 1.62 4.16 4.81 2.39 10.2 1.69 5.33 1.18 25.1

ABACORE CAPITAL ASIABEST GROUP AYALA CORP ABOITIZ EQUITY ALLIANCE GLOBAL ANSCOR ANGLO PHIL HLDG ATN HLDG A ATN HLDG B COSCO CAPITAL DMCI HLDG FILINVEST DEV FJ PRINCE A FORUM PACIFIC GT CAPITAL HOUSE OF INV JG SUMMIT JOLLIVILLE HLDG LODESTAR LOPEZ HLDG LT GROUP MABUHAY HLDG METRO PAC INV PACIFICA AYALA LAND LOG PRIME MEDIA SOLID GROUP SM INVESTMENTS SAN MIGUEL CORP SOC RESOURCES TOP FRONTIER WELLEX INDUS ZEUS HLDG

0.59 12.66 908.5 54.5 15.28 6.5 0.74 1.23 1.24 6.8 10.4 14 4.46 0.249 872 6.14 61.1 5.98 0.475 4.64 14.92 0.52 4.43 0.038 3.41 1.07 1.32 929 182 0.94 265.6 0.232 0.295

1.42 35.35 0.3 23 79 380.6 22.5 6.12 4.82 2.36 12.12 42 6.57 17 14.4 16.2 14.44 5.75 10.22 7.5 105.4 0.72 43 283.8 9.5 12.92 0.199 1.24 13.18 1.54 5.09 1.99 164 1.24 2.55 68 2.5 16.12 9.97 13.78 20.3 9.38 1.2 1.25 115 2.05 1.69 4.44 4.9 2.4 10.26 1.71 5.69 1.19 25.5

1.38 35.7 0.29 21.8 78.35 378.2 21.9 6.07 4.76 2.22 12.12 41.85 6.58 15.98 14.42 15.98 14.5 5.8 10.4 7.5 105 0.73 43.05 274.6 9.6 13.1 0.19 1.25 13.16 1.54 5.1 1.95 159.5 1.21 2.6 69.95 2.58 15.88 9.86 13.48 20.35 9.08 1.27 1.35 110 2.05 1.62 4.21 4.85 2.38 10.5 1.67 5.68 1.18 25.2

1.38 35.85 0.305 22.95 79.2 381 22.5 6.13 4.82 2.36 12.12 41.95 6.58 17 14.42 16.2 14.5 5.8 10.44 7.52 106 0.73 43.6 284.4 11.2 13.1 0.191 1.26 13.22 1.55 5.1 1.95 164 1.25 2.6 69.95 2.63 16.2 10.06 13.78 20.5 9.08 1.27 1.35 110 2.08 1.69 4.45 4.85 2.42 10.5 1.71 5.7 1.19 25.5

1.38 35.3 0.29 21.7 77.2 377.8 21.9 6.07 4.75 2.2 12.1 41.65 6.48 15.98 14.3 15.98 14.1 5.7 10.12 7.48 104 0.7 42.5 274.6 9.5 12.92 0.19 1.23 13.12 1.54 5 1.95 159 1.2 2.5 65.5 2.5 15.88 9.86 13.46 20.25 9.08 1.19 1.22 110 2.02 1.62 4.08 4.81 2.38 10.1 1.65 5.68 1.18 25.05

1.38 35.3 0.295 22.95 78.75 379 22.5 6.12 4.76 2.35 12.1 41.65 6.5 17 14.4 16 14.14 5.75 10.16 7.5 105.4 0.72 43 282 9.5 12.92 0.191 1.23 13.16 1.54 5 1.95 163 1.24 2.5 65.5 2.5 16.02 9.97 13.78 20.25 9.08 1.2 1.24 110 2.05 1.69 4.45 4.81 2.4 10.2 1.71 5.7 1.19 25.5

30000 3457600 17680000 7558300 83350 255190 1611400 706100 53000 55501000 2700 77900 28300 51500 334900 4600 650200 3300 2943500 1610900 268610 608000 84800 933720 395100 526300 190000 3206000 1787500 266000 2600 9000 1431050 2569000 29000 440 12961000 140700 486500 318000 988000 1500 1894000 21008000 100 1064000 15000 12000 22000 7570000 1571800 236000 7800 136000 268700

41400 122439270 5278600 171657365 6561589 96793854 36139300 4314560 252850 127138570 32676 3259475 185042 875074 4818662 73930 9279084 18905 30110502 12084776 28189010 430570 3670995 262097150 4111710 6852634 36110 3989410 23487000 409750 13010 17550 232342279 3157800 73350 29587.5 32902280 2254432 4857288 4335962 20071495 13620 2290240 26442070 11000 2175940 24650 50780 106380 18150530 15998722 399760 44397 160870 6819440

HOLDING & FRIMS 0.6 12.7 909 55 15.38 6.79 0.76 1.24 1.25 6.84 10.5 14.18 4.75 0.26 880 6.15 61.5 6.18 0.5 4.65 15.26 0.54 4.44 0.039 3.42 1.15 1.36 936 182.1 0.96 270 0.239 0.3

0.61 12.9 899 54.8 15.1 6.7 0.74 1.25 1.26 6.81 10.52 14.2 4.5 0.249 875 6.15 61.6 6 0.52 4.65 14.72 0.51 4.34 0.039 3.37 1.06 1.36 936 181.7 0.96 266.2 0.234 0.29

0.62 12.9 912 55.35 15.46 6.79 0.76 1.25 1.26 6.85 10.6 14.48 4.5 0.26 886 6.15 62.25 6.18 0.52 4.65 15.34 0.52 4.48 0.039 3.45 1.06 1.36 942 183.2 1 270 0.239 0.305

0.6 12.5 898.5 54.05 15.1 6.7 0.74 1.22 1.24 6.75 10.3 14 4.5 0.249 870 6.14 61.05 6 0.5 4.61 14.72 0.51 4.34 0.039 3.37 1.06 1.36 929 179.2 0.94 265.4 0.234 0.285

0.6 12.68 909 54.5 15.28 6.79 0.76 1.23 1.24 6.8 10.4 14.2 4.5 0.26 872 6.14 61.1 6.18 0.51 4.65 14.92 0.52 4.44 0.039 3.42 1.06 1.36 929 182 0.94 270 0.238 0.3

9583000 127200 449820 1181280 5516400 3200 1091000 1713000 256000 602900 5722300 123000 3000 290000 51080 44000 1839160 10200 4000 2154000 5595300 252000 20216000 600000 1587000 18000 70000 348170 182760 2690000 1480 460000 12300000

5818750 1601748 408469005 64530664 84311678 21575 810550 2107700 320950 4088799 59879572 1748916 13500 72320 44775825 270550 113066030 61290 2030 10014630 83829970 128880 89694240 23400 5413360 19080 95200 325395795 33204697 2592480 396364 108690 3637950

456799 7311239 -30761214 315360 -4282166 -52523283.5 5363381.5 265000 18827395 -1654501.5 7768845 3000 83862170 -480684 9684684 -8839370 -740566 573780.0002 -800780 -850000 -1450348 -140518 -12452376 -6602731 -11140351 43200 1811610 48855656 100000 -430524 -1511650 -15001430 -20799683 -244000 -12750 6358350 2123146 79593 22950 -12842415 -298420 333700 -519690 10881894 -256400 87980 71314300 -2083861.5 29388664 11390 68200 -1354355 -19425820 535186 3794880 -17171709.5 -3762100 -14415890 -2884350 -20480 73012835 -11199923 -295018 -1336750

PROPERTY

ARTHALAND CORP 0.77 0.78 0.8 0.8 0.77 0.78 1211000 955900 ANCHOR LAND 10.44 10.96 10.22 10.96 10.22 10.96 14300 153760 AYALA LAND 48.2 48.75 48.5 49.45 48.2 48.2 11443900 559589610 225094070 ARANETA PROP 2.02 2.09 2.09 2.1 2 2.02 251000 509660 BELLE CORP 2.25 2.29 2.26 2.26 2.21 2.25 1280000 2,864,820( 1,110,579.9997) A BROWN 0.78 0.79 0.77 0.79 0.77 0.79 359000 281960 -7800 CITYLAND DEVT 0.92 0.94 0.85 0.94 0.85 0.94 791000 722550 CROWN EQUITIES 0.225 0.226 0.225 0.226 0.225 0.225 2570000 578450 CEBU HLDG 6.2 6.4 6.22 6.4 6.2 6.4 1500 9494 CEB LANDMASTERS 4.96 5 5 5.05 4.95 4.97 641800 3192609 CENTURY PROP 0.59 0.6 0.6 0.62 0.59 0.6 39722000 24056830 23630 CYBER BAY 0.375 0.4 0.38 0.38 0.37 0.37 600000 226500 DOUBLEDRAGON 24.8 24.9 25.15 25.25 24.7 24.8 684500 16997685 -896475 DM WENCESLAO 9.82 9.85 9.7 9.88 9.57 9.85 386200 3794262 659062 EMPIRE EAST 0.475 0.48 0.475 0.475 0.475 0.475 590000 280250 FILINVEST LAND 1.63 1.64 1.6 1.67 1.6 1.64 34719000 57038060 -11262770 GLOBAL ESTATE 1.4 1.41 1.4 1.43 1.39 1.41 3402000 4786630 701200 8990 HLDG 15.58 15.76 15.86 15.86 15.56 15.76 391800 6140732 -1135318 PHIL INFRADEV 1.88 1.89 1.88 1.93 1.88 1.89 8295000 15749840 1194430 CITY AND LAND 0.8 0.82 0.82 0.82 0.82 0.82 9000 7380 MEGAWORLD 5.91 5.92 5.67 5.92 5.67 5.92 66652000 391537454 128115942 MRC ALLIED 0.315 0.32 0.325 0.33 0.31 0.315 16520000 5250950 194500 PHIL ESTATES 0.465 0.48 0.465 0.475 0.465 0.475 50000 23600 ROBINSONS LAND 24.6 24.9 25 26.15 24.6 24.6 2725400 68368055 -9757115 PHIL REALTY 0.41 0.415 0.415 0.415 0.41 0.415 190000 78550 ROCKWELL 2.06 2.08 2.07 2.08 2.07 2.07 207000 428540 SHANG PROP 2.98 2.99 2.99 3 2.99 2.99 66000 197640 STA LUCIA LAND 1.87 1.9 1.94 1.94 1.86 1.9 3587000 6770300 SM PRIME HLDG 39 39.5 38.9 40 38.9 39 12290300 484,124,530( 229,360,749.9999) STARMALLS 6.3 6.32 6.38 6.38 6.3 6.3 188200 1190512 SUNTRUST HOME 0.73 0.78 0.79 0.79 0.78 0.78 6000 4690 VISTA LAND 7.08 7.09 7.12 7.16 7.07 7.09 1942300 13785073 -4841112 SERVICES ABS CBN 18.32 18.4 18.18 18.4 18.14 18.3 46500 850326 GMA NETWORK 5.36 5.38 5.35 5.39 5.35 5.38 85700 459877 MANILA BULLETIN 0.56 0.57 0.55 0.58 0.55 0.58 771000 438550 MLA BRDCASTING 14.32 15.88 15.8 15.9 15.8 15.9 1000 15868 GLOBE TELECOM 2210 2218 2192 2230 2128 2210 81405 180227610 53221130 PLDT 1280 1288 1274 1317 1271 1280 196310 253979295 59858365 APOLLO GLOBAL 0.044 0.046 0.046 0.046 0.044 0.046 5600000 249000 DFNN INC 5.9 5.95 5.62 6.2 5.62 5.9 251600 1442390 -1136126 ISLAND INFO 0.122 0.123 0.125 0.125 0.12 0.123 1340000 163140 -20930 ISM COMM 6 6.01 6.15 6.19 5.96 6.01 4211200 25434440 2523933 JACKSTONES 2.92 3.05 3.06 3.07 2.9 2.92 7000 21130 NOW CORP 2.31 2.32 2.27 2.4 2.22 2.32 3198000 7366870 54770.0003 TRANSPACIFIC BR 0.36 0.365 0.36 0.375 0.355 0.36 26230000 9592050 613100 PHILWEB 3.32 3.33 3.25 3.32 3.21 3.32 1309000 4299520 -1145860 2GO GROUP 11.36 11.6 11.5 11.6 11.36 11.36 15700 180212 2276 CHELSEA 6.68 6.69 6.78 6.79 6.52 6.69 1009400 6747174 91800 CEBU AIR 89.9 89.95 88.5 90.2 88 89.95 222000 19973436.5 3552582.5 INTL CONTAINER 135.1 135.9 136 137 135.1 135.9 1571580 213752925 8083785 LBC EXPRESS 14.02 15.4 14 14.02 14 14.02 9200 128804 LORENZO SHIPPNG 0.84 0.87 0.82 0.9 0.82 0.87 1229000 1050740 MACROASIA 20.75 20.8 20.6 20.8 20.5 20.8 1129600 23369760 14935295 METROALLIANCE A 1.56 1.72 1.58 1.58 1.56 1.56 47000 73860 PAL HLDG 9.65 9.88 9.65 9.9 9.5 9.61 36400 349180 HARBOR STAR 2.18 2.2 2.2 2.27 2.17 2.18 3322000 7312320 18600 BOULEVARD HLDG 0.058 0.059 0.06 0.061 0.058 0.059 29790000 1763610 WATERFRONT 0.69 0.71 0.68 0.7 0.68 0.69 1656000 1144900 FAR EASTERN U 890 895 895 895 895 895 10 8950 IPEOPLE 10.3 10.5 10.2 10.3 10.2 10.3 6200 63440 STI HLDG 0.67 0.68 0.68 0.68 0.66 0.67 686000 459640 -13180 BERJAYA 2.97 2.98 3.05 3.05 2.91 2.98 950000 2825290 50500 BLOOMBERRY 11.8 11.82 11.6 11.98 11.52 11.8 3585200 42377046 -7397382 PACIFIC ONLINE 3.19 3.2 3.21 3.21 3.19 3.2 106000 339440 LEISURE AND RES 4.6 4.64 4.49 4.63 4.43 4.6 1580000 7204180 -2164160 MANILA JOCKEY 3.71 3.84 3.66 3.74 3.66 3.74 69000 255700 PH RESORTS GRP 4.96 5 4.73 5.16 4.73 5 632000 3176670 PREMIUM LEISURE 0.77 0.78 0.74 0.78 0.74 0.77 6602000 5044840 -63950 TRAVELLERS 5.32 5.35 5.3 5.39 5.27 5.35 817700 4349362 -1809448 METRO RETAIL 2.72 2.73 2.72 2.73 2.65 2.73 1402000 3770730 -101600 PUREGOLD 43.4 45.25 45.8 46.2 43.4 43.4 461900 20450645 -6322695 ROBINSONS RTL 71 71.9 72.2 72.2 71 71 482750 34405261 -14301712 PHIL SEVEN CORP 120.1 125.8 121 125.8 121 125.8 500010 60501258 -0 SSI GROUP 3.13 3.14 3.15 3.2 3.12 3.14 2283000 7203240 -468350 WILCON DEPOT 16.78 17 16.9 17 16.74 17 1189900 20061374 1455770 APC GROUP 0.41 0.425 0.42 0.42 0.42 0.42 30000 12600 EASYCALL 10.48 10.7 10.48 10.7 10.42 10.46 43700 458694 GOLDEN BRIA 402.6 410 402.6 417 402.6 410 1640 669584 PRMIERE HORIZON 0.81 0.82 0.8 0.83 0.79 0.81 13848000 11292100 -522260 SBS PHIL CORP 9.5 9.6 9.4 9.64 9.38 9.6 59700 570840 MINING & OIL ATOK 10.64 11.9 11.9 11.9 11.9 11.9 600 7140 APEX MINING 1.11 1.14 1.1 1.15 1.09 1.15 865000 966210 ABRA MINING 0.0018 0.0019 0.0018 0.0018 0.0018 0.0018 10000000 18000 COAL ASIA HLDG 0.28 0.295 0.295 0.295 0.295 0.295 10000 2950 CENTURY PEAK 2.79 2.8 2.8 2.8 2.8 2.8 49000 137200 -5600 DIZON MINES 7.7 7.78 7.7 7.82 7.68 7.71 2700 20832 FERRONICKEL 1.5 1.55 1.47 1.55 1.46 1.55 2666000 4047740 2940 GEOGRACE 0.231 0.239 0.245 0.245 0.23 0.239 170000 39740 LEPANTO A 0.102 0.11 0.104 0.105 0.102 0.102 2550000 262230 LEPANTO B 0.104 0.109 0.109 0.109 0.104 0.104 3680000 397790 -397790 MANILA MINING A 0.0074 0.0078 0.0075 0.0075 0.0075 0.0075 1000000 7500 MARCVENTURES 1.04 1.05 1.02 1.04 1.02 1.04 28000 28900 NIHAO 0.97 1.01 1.01 1.01 1 1.01 4000 4030 NICKEL ASIA 2.2 2.21 2.14 2.22 2.14 2.2 2716000 5894110 -2581700 OMICO CORP 0.56 0.59 0.56 0.56 0.56 0.56 70000 39200 ORNTL PENINSULA 0.89 0.91 0.9 0.91 0.9 0.91 80000 72010 PX MINING 2.9 2.93 2.9 2.91 2.9 2.9 157000 455810 -455810 SEMIRARA MINING 21.3 21.7 21.95 22.2 21.3 21.3 2725100 58806360 -19209345 UNITED PARAGON 0.0065 0.0069 0.0069 0.0069 0.0069 0.0069 1000000 6900 ORNTL PETROL B 0.011 0.012 0.012 0.012 0.012 0.012 100000 1200 -1200 PHILODRILL 0.01 0.011 0.011 0.011 0.011 0.011 76000000 836000 PHINMA PETRO 3.58 3.6 3.72 3.72 3.55 3.58 466000 1689670 PXP ENERGY 8.12 8.13 8 8.14 7.91 8.12 524400 4204568 459568 PREFFERED HOUSE PREF A 96.5 97 95 95 95 95 500 47500 DD PREF 97 98 97.5 98 97.5 98 1020 99955 FGEN PREF G 104 104.3 104 104 104 104 700 72800 GLO PREF P 486 492 487 487 486 486 2000 972100 LR PREF 0.98 1 0.98 1 0.98 1 36000 35400 MWIDE PREF 100.1 102.5 100.1 100.1 100.1 100.1 3000 300300 PCOR PREF 2A 970 996 996 996 996 996 10 9960 SMC PREF 2B 75.3 75.45 75.45 75.45 75.45 75.45 700 52815 15090 SMC PREF 2C 76.1 76.95 76.95 77 76.95 76.95 1230 94658.5 SMC PREF 2D 71.7 72.9 72.45 72.45 72.45 72.45 5000 362250 SMC PREF 2E 71.65 74 73 73.5 73 73.5 7610 559280 -73500 SMC PREF 2G 72.9 74.75 73.85 73.85 72.8 72.8 83670 6105785 -

PHIL. DEPOSITARY RECEIPTS ABS HLDG PDR GMA HLDG PDR

17.94 5.1

18 5.35

17.92 5.35

17.94 5.35

45200 35100

813572 187785

WARRANTS LR WARRANT

2.07

SMALL & MEDIUM ENTERPRISES ITALPINAS 4.8 XURPAS 0.99

2.11

2.09

2.17

2.05

2.12

432000

903920

4.83 1

4.82 1.02

4.82 1.03

4.76 0.99

4.8 1

195000 3903000

934300 3915840

29000

EXHANGE TRADE FUNDS FIRST METRO ETF

117.5

-811772 -187250

117.9

117

117.9

117

117.9

3030

356616

www.businessmirror.com.ph

Banking&Finance BusinessMirror

Friday, May 31, 2019

BIR files 11 Tax Code violation cases worth ₧75M

By Cai U. Ordinario

@caiordinario

HE Bureau of Internal Revenue (BIR) has filed cases against 11 corporate and individual taxpayers for failing to pay at least P74.61 million worth of taxes and committing various violations of the Tax Code. In a statement, BIR said eight of these taxpayers are corporations while the rest are individuals. In Quezon City, the BIR filed tax evasion cases against five corporations while in Manila, the tax agency sued three firms and three individuals. The total taxes due the government in Quezon City from the five firms reached P71.12 million, while in Manila the corporations and individuals owed the BIR at least P3.49 million in taxes. In Quezon City, Lucky Builders was accused of willfully failing to pay its taxes. The company owed the government P29.071 million, inclusive of increments. The BIR said the Pasig-based general contractor was being sued for tax liabilities for taxable year 2013. Gobal Trendtech, also based in Pasig City, owed the government P20.07 million inclusive of increments. The deficiency in tax liability of the gadgets and telecommunications device trader and retailer was also for the year 2013. The BIR said general contractor and wholesaler of firefighting equipment firm RAR Builders owed the government P10.07 million for the taxable year 2014. The company is based in Balara 2, Quezon City. The tax agency said cement manufacturer Concreteworks, based in Marikina City, is also being sued for a total deficiency tax liability for taxable year 2012 amounting to P6.58 million, inclusive of increments. BIR said AmaAutotechnic, an auto repair shop, in Pasig City, is being sued for a total deficiency tax liability for taxable year 2009 worth P5.33 million, inclusive of increments.

Manila cases

MEANWHILE, BIR Region 6 in the City of Manila filed separate criminal complaints with the Office of the Prosecutor against six taxpayers for various violations of the

National Internal Revenue Code of 1997, as amended (Tax Code). The BIR said three Manila taxpayers were charged for violating Section 255 in relation to Sections 253 (d) and 256 of the Tax Code. These were Southcity Marketing Corp. and Mheriban Sales Corp. and proprietor Jilbert E. Perez. Southcity Marketing Corp. officers President Wilfredo L. Adriano and Treasurer Dionisia E. Adriano and Mheriban Sales Corp. President Jocelyn C. Mariano and Treasurer Angeles G. Manuel were also included in the complaint. Southcity Marketing Corp. is being sued for a total deficiency tax liability of P511,966.06 for 2010; Mheriban Sales Corp., P415,772.24; and Perez, P1.92 million, inclusive of increments. Meanwhile, Pinic International Corp. and its responsible corporate officers, President Nicholson C. Santos and Treasurer Jennifer C. Li, were charged for violating Sections 254 and 255, in relation to Sections 253 (d) and 256, of the Tax Code, as amended. Pinic International Corp. is engaged in the trading of goods such as general merchandise on wholesale/retail basis, and is being sued for willful failure to pay the withholding taxes on compensation and expanded withholding taxes through the scheme of repeatedly filing withholding tax returns but deliberately and repeatedly failing to pay withholding taxes. It is, likewise, sued for its civil liability in the total amount of P638,931.66, exclusive of increments, which is deemed instituted in the criminal complaint. Two individual proprietors were also charged for violation of Section 237 of the National Internal Revenue Code (NIRC) of 1997, as amended, penalized under Section 264 of the Tax Code. These are Tommy S. Domingo of Tom’s Cellphone Laptop Parts and Aira Mae

‘3 Ps’ of a successful secretariat

WAS going over my old office files during the weekend when I came upon a set of transparency presentation materials. Remember these filmy, clear sheets of cellulose acetate that you write on or print over texts or graphics and lay over an overhead projector? For the younger generation, you probably do not know what I am saying since you came into this world using Powerpoint as a presentation tool! Today’s column, however, is not about presentation technologies nor techniques; it is about the content of the transparencies that I have uncovered. It was on how to successfully manage a secretariat organization and this is what I wish to share with you. Entitled, “The 3 P’s of a Successful Secretariat,” it highlights the three key pillars of purpose, performance and people. The first “P”—purpose—is based on Peter Drucker’s definition of the purpose of business, which is “to create and retain customers.” In the context of an association, the customers (and in fact, its owners, too) are its members. The challenge of the secretariat, being the management/executive team of the association, is not only to recruit members, but also how to retain, engage and increase them. In essence: to build and sustain a community of believers and advocates to fulfill its purpose. To grow and sustain membership, the secretariat has to perform and deliver demand-driven services to its members. This is the second “P”: performance. But mere “performing” is not enough in today’s world. The challenge is to come up with new and “refreshing” services that benefit members. As such, the secretariat has to act in Internet speed and do it with a passion to succeed. Not doing this will compromise the association’s ability

Association World Octavio Peralta to generate the necessary funding and continue achieving the association’s purpose. Performance, therefore, is essential to raising and accumulating financial resources. The third “P”—people—is the lifeblood of the association. Without good, dedicated, and talented people, the secretariat will be unable to perform well and drift aimlessly. So the challenge is twofold: one, the drive for excellence of the secretariat staff must be sustained and, two, its ability to network and collaborate with others must also be nurtured. In short, people is the engine that drives the secretariat to perform and accomplish its purpose. Although I must have written this piece decades ago, I believe this is still relevant today. These “3 Ps” remain as guideposts in my continuing work as an association executive at Adfiap and at PCAAE. The contributor, Octavio “Bobby” Peralta, is concurrently the secretary-general of the Association of Development Financing Institutions in Asia and the Pacific (Adfiap), founder and CEO of the Philippine Council of Associations and Association Executives (PCAAE) and president of the AsiaPacific Federation of Association Organizations (Apfao). The purpose of PCAAE—the “association of associations”—is to advance the association-management profession and to make associations well-governed and sustainable. PCAAE enjoys the support of Adfiap, the Tourism Promotions Board (TPB), and the Philippine International Convention Center (PICC). E-mail: obp@adfiap.org

Cuarteron Bagalay of AMC.Bagalay General Merchandise. Both companies are based in Quiapo, Manila. “The respondents were served the corresponding Letters of Authority [LOA], Requests for Presentation of Records, Second and Final Notice Before Issuance of Subpoena Duces Tecum [SDT], Notices of Informal Conference [NIC], Preliminary Assessment Notices [PAN], Final Assessment Notices [FAN]/Formal Letters of Demand [FLD] with Details of Discrepancies, and Final Decision

on Disputed Assessments [FDDA] but failed to either pay or protest and submit relevant supporting documents to either substantiate their claims or to refute said assessments, hence making the said assessments final, executory and demandable,” BIR said. The BIR also said BIR Quezon City issued Preliminary Collection Letters (PCL) and Final Notices Before Seizure (FNBS) that proved futile as the aforecited assessments remained unpaid. Likewise, Warrants of Distraint and/ or Levy (WDL), and Warrants of Garnishment

(WG) were issued and served. Demands Before Suit (DBS) likewise proved futile. Revenue Region 6-Manila conducted Tax Compliance Verification Drive (TCVD) or tax mapping and found the respondents violating laws, rules and regulations, including the use of unauthorized sales invoices/unregistered receipts. Their business establishments were even checked for the second time, but were still found issuing unauthorized sales invoices. Hence, cases were filed against them.

B4 Friday, May 31, 2019

FASTECH, FAITH COLLEGES TO COHOST THE GREEN ICT FORUM 2019

ASTECH Synergy Philippines Inc. and FAITH Colleges, together with the Semiconductor and Electronics Industries in the Philippines Foundation Inc. (Seipi), are co-organizing this year’s Green ICT forum in conjunction with the Philippine Semiconductor and Electronics Convention and Exhibition on June 1 at SMX Convention Center. The summit’s theme this year is “Green ICT and R&D for National Progress”. The event provides a platform for comprehensive discussion on the sustainable use, manufacturing and development of information and communication technology, or Green ICT. With technology and electronics playing an increasingly significant role across the world, the forum’s ultimate goal is to promote a mindset of sustainability for ICT. This year’s topics, such as “The Future of Manufacturing Technologies: Industry-driven Concept”, “Society 5.0”, “Industry 4.0”, “Practical Approach to Smart Factory”, “Green Power”, “Decentralized Energy Generation using Next Generation Solar Systems”, and “Sustainability and Green Initiatives of Analog Devices”, will be covered at the event. This year’s speakers include Osamu Namikawa Sr., manager for environmental affairs of the Japan Electronics and Information Technology Industries Association; Berthold Arweiler, head of AIT MA smart factory of Continental Temic;

Rhett V. Ramos, Asia IT director from Allegro MicroSystems Philippines Inc; Olaf Gresens, president of Merlin Solar Technologies Inc.; Carlos Lorenzo L. Vega, vice president for power marketing and trading of First Gen Corp.; Florence Galindo, EH&S manager of Analog Devices Philippines; Saturnino G. Belen Jr., president of FAITH Colleges; and Dr. Danilo Lachica, president of Seipi. Fastech, a leading Philippine semiconductor-manufacturing company, is recognized for its leading-edge know-how in niche IC semiconductor components and RF/microwave modules. With the industry and electronics moving toward more power-efficient chips and components, Fastech has positioned itself to provide a broad portfolio of silicon-, silicon carbideand gallium nitride-based devices. In recent years SiC- and GaN-based semiconductors—called the nextgeneration power semiconductors— are two semiconductor materials seeing widespread use in power supplies, solar inverters and industrial motor drives. They are also called green devices because they reduce power consumption and carbondioxide emissions tremendously. FAITH Colleges, an institution of higher learning and research in the Philippines and the academic partner of Fastech, continues to promote research and development into Green ICT in the Manila-Laguna-Batangas research and innovation consortium.

UPLIFTING STEADY LABOR MOVEMENT

HE Inter nat iona l L abor Organization (ILO) recently c e l e b r a t e d 10 0 y e a r s o f advancing social justice and decent work. The celebration also gathered pa r t ners to add res s c h a l le nges pertaining to basic rights of workers, such as freedom of association and collective bargaining. One of ILO’s staunch partners is the European Union and proof of this are the collaborative projects undertaken by the two organizations. European Union (EU) Ambassador to the Phi lippines Franz Jessen lauded the projects that “promotes and advances the ILO standards and decent work in the context of explaining trade and investments.” T he p r o j e c t o ut p ut s — t o o l s , manuals and reports—were presented at a stakeholder’s forum held along with ILO’s centenar y celebration at t h e M a n i l a Pe n i n s u l a . To p representatives from the ILO, EU, and tripartite partners from government and civil society were present, and have w itnessed the unveiling of concrete outputs and results under the “EU-GSP+ Freedom of Association and Collective Bargaining [FoACB]” and “Strengthening the Impact of Trade on Employment in the Philippines [EU-Strengthen]”. ‘ILO’s collaboration with the EU

under the trade, employment and freedom of association projects, promotes and advances international labor standards and decent work in the context of expanding trade and investments. This stakeholder’s forum is a step towards that direction,” said Khalid Hassan, director, ILO country office for the Philippines. “As ILO marks 100 years, we continue to pursue a human-centered agenda for the future of work—one where increased investments in the institution of work are guaranteed through ensured collective representation of workers and employers [via] social dialogue.” “ The overall objective [of this l au nc h] is to prov ide t r ipa r t ite social partners the tools to improve capacity in aiding laws and policies to bet ter apply soc i a l d i a log ue, tripartism and basic rights, such as freedom of association and collective bargaining, which are essential to the enjoyment of decent work,” said Verna Dinah Viajar, project manager of ILO Philippines. Specific outputs under the FoACB i nc lude: a si g ne d m a n i festo of commitment to respect and observe ILO Conventions 87 and 98, or the freedom of association and collective bargaining principles; the tripartite 2017-2022 National Action Plan on Freedom of Association, review of the

existing mechanisms in addressing impunity; employer’s self-assessment toolkit on labor-standard compliance in MSMEs; e-learning course on labor rights and standards; and information video on freedom of association. Outputs under the EU-Strengthen project, meanwhile, include the toolkit for assessing the effects of trade on employment, and a report on the impact of trade on employment in the Philippines and an assessment toolkit on the effects of trade on employment, which offer a comprehensive review of trade policies that the government has pursued through the years, and how these varying sets of policies have affected trade and employment outcomes in the country, in terms of its export performance, trade relations and labor-market structure, among others. “A f ter 10 0 yea rs, t he ILO i s more relevant than ever. The ILO continues to set standards in the world of work to achieve socia l justice and decent work for all. As signatory to the ILO core conventions on rights at work, it is important for the Philippines—government, workers and employers—to live up to its commitment. Human-centered innovations remain a focus for ILO to prepare for the future of work,” Viajar concluded.

ORONTO—Dynasty versus dinosaurs. The Golden State Warriors’ road to a fifth straight National Basketball Association (NBA) Finals has detoured to a new destination—and this one requires a passport. The Toronto Raptors, a team that arrived in the NBA 24 years ago as the dinosaur-logoed basketball franchise in a hockey-loving country, have finally made it to the championship round and will host Game One on Thursday night. It’s the first time the finals will be played outside the US, a refreshing change after a record four straight seasons of the same matchup. “Different for us obviously, having been in Cleveland four straight years, but this is more the rule. That was the exception,” Warriors Coach Steve Kerr said. “You’re not supposed to go to the finals four straight years and you’re definitely not, if you’re lucky enough to do that, you’re not supposed to play the same team four straight years. “This is more what the finals normally feel like, where you’re going against a team you frankly don’t know that well and that you haven’t seen that often over the previous few years.” Stephen Curry lived in Toronto when his father Dell played for the Raptors at the end of his career, but otherwise it’s a new feeling even for these Warriors, who are one of the most championship-experienced teams in NBA history. They joined the Boston Celtics from 1957-1966 as the only teams to reach five straight NBA Finals, and are trying to become the first team to win three consecutive titles since the Los Angeles Lakers of 2000-2002. Besides facing a different opponent

The Associated Press

By Brian Mahoney

for the first time during their run, the Warriors won’t have the luxury of starting the series at home for the first time. They also won’t have Kevin Durant for at least one more game, though none of that rattles a team that has played in 22 finals games in the last four years. “We have been here before,” Curry said. “We understand the hoopla and the pandemonium around the finals, and how different things are when it comes to just the schedule and the vibe. So we have seen a lot and we’ll be ready for it.” The Raptors are new to this stage, but their players aren’t. Kawhi Leonard was MVP of the 2014 NBA Finals, when he and Danny Green won a title with San Antonio. Serge Ibaka made it to the finals with Oklahoma City in 2012, and even players such as Kyle Lowry and Marc Gasol have played in Olympic finals. “It’s just the same basketball game,” Leonard said. “It’s five-on-five. It’s still two hoops. So you just go out there and play hard and live with the results.” The Raptors had already moved away from their purple uniforms with the red dinosaur, and their reputation as a loser is extinct, too. They have won 50 games in four straight seasons and have the best record in the East over the last seven, but couldn’t get over the hump until this year, thanks largely to the acquisition of Leonard last summer. He hit the winning shot in Game Seven of the second round and then led Toronto’s charge back from a 2-0 deficit against Milwaukee in the conference finals to win four straight against the team with the NBA’s best record. They made history just by bringing the finals to Canada and the doorstep of their rowdy fans in Jurassic Park. But Lowry has more in mind. “For me it’s all about winning, and when you get to the point where you

STEPHEN CURRY, already the career leading in NBA Finals 3-pointers, needs two more to reach the century mark.

100 PERCENT

ANOTHER title would be the Warriors’ seventh and move them into third place in NBA history behind only the Celtics (17) and Lakers (16).

THREE-PEAT FOR NO. 3?

STEVE KERR won a championship four years ago in his first season as an NBA head coach and now Nick Nurse can do the same. He was promoted last year after the Raptors fired Dwane Casey, and earlier in his career had been a head coach in both the NBA Development League and the British Basketball League.

ROOKIE RUNS

GOLDEN State has won 12 straight Game Ones, including all four in the NBA Finals since 2015, and Gasol was asked for Toronto’s key to getting the series off to a good start. “Every possession from the jump ball,” he said, “competing, communicating, solving issues as we face them. Do not overreact to whatever.”

STRONG STARTERS

DEMARCUS COUSINS (torn left quadriceps) may be ready to return but it could be a little longer for Durant (strained right calf). Kerr said the twotime NBA Finals MVP, already ruled out for Game One, hasn’t practiced and would have to do so before returning.

WOUNDED WARRIORS

make it to the NBA Finals, you won but you still got more to do,” he said. “So getting here doesn’t do anything but getting here. We still want to try to win this.”

DYNASTY VS. DINOSAURS THE Golden State Warriors’ Stephen Curry shoots during practice in Toronto on Wednesday. AP

Sports ORONTO—Draymond Green believes he’s the best defensive player in basketball. Klay Thompson sought inclusion on the National Basketball Association’s (NBA) all-defensive team for years. Andre Iguodala, even at 35 years old, can still neutralize just about any opponent. Golden State has some big-time defenders, without question. And they all respect Kawhi Leonard’s offensive game. They will probably all get a turn at guarding Toronto’s best player at some point during the NBA Finals, whether the assignment is by design or just sort of happens organically when defenders get switched during a Raptors possession. When the title series starts on Thursday night, the biggest key for the Warriors will likely be slowing down Leonard—the dominant player so far in this postseason. “He’s been playing amazing this whole playoff run and really all season,” Warriors star Stephen Curry said. “He’s always at his own pace, and never seems to get rushed or be in a hurry. He’s obviously physically gifted and strong. He can get to his spots, but he’s become a really good shooter. Off the dribble, getting to a spot, rising up.... But we have some capable— beyond capable—defenders to guard him.” Those capabilities will be tested. The only thing that has slowed Leonard in these playoffs was the flu, which he was dealing with when he shot five for 19 in Game Three against Orlando. Not even a leg injury has been able to derail Leonard. He’s averaged 31.2 points in the playoffs, along with 8.8 rebounds and 3.8 assists while shooting 51 percent. The numbers he’s put up so far in the playoffs compare to what LeBron James in his last four playoff runs with Cleveland. The East isn’t owned by James anymore. For now, it belongs to Leonard and the Raptors—who’ll take their turn in the role James has held, facing Golden State for a title. The Warriors’ primary task in 2015, 2016, 2017 and 2018 was slowing James. This year, slowing Leonard is the priority. And he’s been boning up on film, trying to figure out what he can do to maximize his chances.

“I think it just really comes down to being smart and just being in those situations before and just knowing what’s going to happen,” Leonard said. “Going through years of playing and seeing defensive schemes or offensive schemes and watching film and seeing how they guarded other guys or me in the past.” Leonard hasn’t faced Green since May 14, 2017—Game One of the Western Conference finals that year between the Warriors and San Antonio, the game where the Spurs were up big and Leonard had 26 points in the third quarter and was generally unguardable. And then Zaza Pachulia closed out on him, got his foot under Leonard’s on a jumper, creating an awkward landing that knocked Leonard out for the rest of that series. Iguodala and Thompson have seen Leonard once since, that being back in November, a game in Toronto where the Raptors’ star scored 37. He made his first six shots that night, the first four of them when the Warriors matched Damion Jones against Leonard. By the time the fourth shot fell, Jones just put his head back in mock disbelief. It wasn’t like he wasn’t trying. He just didn’t have the capability to stop him. It’ll be a different approach on Thursday night. “I would say they’re going to probably do something similar to what we’re going to do,” Raptors Coach Nick Nurse said. “There are a lot of bodies that can guard a lot of different people. I think you are going to see a lot of different people.” Green said Leonard doesn’t dominate games in the same way that James, or Curry, or still-injured Warriors star Kevin Durant, or Portland’s Damian Lillard can when they get rolling. It wasn’t a knock. Green insisted Leonard’s style is just as effective. “Kawhi didn’t come into this league as a scorer, yet he’s one of the best scorers we have in the league now,” Green said. “It just doesn’t look the same, but the results are the same and/or better. He’s really worked to get to where he is today.” Thompson also tipped his cap to Leonard, saying he’s MVPcaliber. And Iguodala went a step further, saying the Warriors have to be ready to “throw the whole kitchen at him.” “He’s kind of got a different game than anybody,” Iguodala said. “He’s very unique with his strength, with his quickness, being able to explode to the basket but also being a threat from the perimeter. He’s pretty much got it all.” AP

‘THROW EVERYTHING AT KAWHI’ T

| Friday, May 31, 2019 mirror_sports@yahoo.com.ph Editor: Jun Lomibao

BusinessMirror

GOLDEN State has some big-time defenders, without question, and they all respect Kawhi Leonard’s offensive game. AP

Spo

Business

C2 Friday, May 31, 2019

ARIS—Roger Federer, 37, joked to a stadium filled with screaming kids that he’s “so super old.” Stan Wawrinka, 34, pulled a crying boy out of a crush of autographseekers in the stands. Rafael Nadal, about to turn 33, offered this advice to youngsters at his match who might be pondering a tennis career: “The main thing is, don’t think about winning Roland Garros.” Schools in France are closed on Wednesdays, bringing out a, um, louder brand of fan to the French Open, and that trio of past champions of the clay-court major seemed to appreciate the adulation from the little ones who attended their straight-set victories. Fitting, too, perhaps, that Federer advanced to a third-round meeting against 20-year-old Casper Ruud, someone so much his junior that the guy’s father was in the field when Federer made his debut in Paris in 1999. “I know probably more about his dad,” Federer said, “than about him.” Federer, the tournament’s 2009 champion who hadn’t been in the field in four years, will be playing his third opponent in a row who is 25 or younger, after beating 144th-ranked Oscar Otte, 6-4, 6-3, 6-4, in the second round. Now the 20-time major champion takes on Ruud, a Norwegian ranked 63rd. He is coached by his father, Christian, who told Casper he once practiced with Federer, although they never played. “Ever since I can remember, I’ve been watching Roger on TV,” said Ruud, who knocked off 29th-seeded Matteo Berrettini, 6-4, 7-5, 6-3.

Then came this admission from Ruud: “To be honest, I’ve been a little bit more of a Rafa fan and Rafa guy.” Better hope no one tells Roger. Still, even if he always has preferred Nadal, Ruud described what comes next this way: “I’m playing one of the greatest champions ever of this sport on Friday, so I’m just super excited for it. I can play loose and free.” Wawrinka, the winner in 2015 and the runner-up two years later, also had no trouble against a much younger foe on Wednesday, eliminating 22-year-old Cristian Garin, 6-1, 6-4, 6-0. Afterward, Wawrinka came to the rescue of one of his tiniest fans, lifting him away from danger and offering a towel as a keepsake. “I took him out of that mess a little bit,” Wawrinka said. “He was in pain and sad.” Owner of three Grand Slam titles in all, Wawrinka will bring his signature backhand into what shapes up as a more competitive matchup against two-time major semifinalist Grigor Dimitrov, who eliminated 2014 US Open champion Marin Cilic, 6-7 (3), 6-4, 4-6, 7-6 (2), 6-3, over nearly four-and-a-half hours. Nadal’s form hadn’t been up to his usual standards during much of the clay season: This was the first time since 2004 that he entered May without a title for the year. But he looked good while taking the title at the Italian Open this month, including a victory over Novak Djokovic in the final, and he’s been close to untouchable so far as he seeks a recordextending 12th trophy in Paris. His latest tour de force was a 6-1, 6-2,

Peters wins Stage 17, Carapaz extends lead

PETERS

BETTER HOPE NO ONE TELLS ‘OLD’ ROGER 6-4 win over 114th-ranked Yannick Maden, a qualifier from Germany. OK, so Nadal hasn’t really faced much of a test yet. Still, he is displaying the court-covering, ball-walloping style he has perfected, which could come in handy when he plays 2016 French Open quarterfinalist David Goffin in the third round. “I don’t like the word ‘easy,’ because when you win, it always looks easier,” Nadal said. “I can say [I had] a comfortable victory. I have been in control most all the time. And that’s the only thing that really matters.” While plenty of the sport’s big names still dot the men’s bracket, the women’s field keeps seeing top players depart. On Wednesday, No. 4 seed Kiki Bertens, a 2016 semifinalist and considered a contender for her first

NTERSELVA, Italy—Nans Peters of France claimed his first professional victory by winning the 17th stage of the Giro d’Italia on Wednesday, while Ecuadorian cyclist Richard Carapaz celebrated his birthday by extending his overall lead. Peters, who rides for AG2R La Mondiale, used a late solo breakaway to win the 181-kilometer stage from Commezzadura to Anterselva, near the Austrian border. “My Giro was already a success, but it’s incredible to get my first pro win in a Grand Tour,” the 25-year-old Peters said. “In the breakaway, I promised myself to attack only once, and the timing proved to be right.” Esteban Chaves was second, 1 minute, 34 seconds behind Peters. Davide Formolo won the sprint for third, finishing 1:51 behind Peters. They had all been part of a large breakaway before Peters attacked with 16 kilometers remaining. Carapaz, who turned 26 on Wednesday, extended his lead to 1:54 over home favorite Vincenzo Nibali and 2:16 over Primoz Roglic of Slovenia. His Movistar teammate, Mikel Landa, attacked with three kilometers remaining to cut the gap to the top 3. Landa remained fourth but is now 3:03 behind Carapaz. “Mikel Landa felt good in the finale and decided to attack to gain some time for the final podium,” Carapaz said. “I also felt good, and I did my best to profit from Mikel’s attack. I couldn’t have asked for a better 26th birthday than with the Maglia Rosa.” Thursday’s 18th stage is a mainly downhill route on the 222-kilometer ride from Valdaora to Santa Maria di Sala. The three-week race finishes in Verona on Sunday. AP

major title, quit during the first set of her match against Viktoria Kuzmova because she was sick. Tears filled Bertens’ eyes as she described waking up at 3 a.m., feeling ill. “Vomiting. Diarrhea. All night long, all day long. I felt a little bit better before the match. I had some sleep, and I just wanted to give it a try,” she said. “But then as soon as I start warming up right before the match, it started again. There was not any energy left.” Bianca Andreescu, an 18-year-old Canadian who was seeded 22nd, pulled out before her match against 20-year-old American Sonia Kenin, citing an injured right shoulder that sidelined her from March until this week. Kenin will face the winner of Thursday’s match between Serena Williams and Japanese

ROGER FEDERER advances to a thirdround meeting against a 20-year-old opponent, someone so much his junior that the guy’s father was in the field when Federer made his debut in Paris in 1999. AP

qualifier Kurumi Nara. Bertens and Andreescu join two-time Wimbledon champion Petra Kvitova, who withdrew before her first match because of an arm injury, and former No. 1s Angelique Kerber and Caroline Wozniacki, who both lost in the first round. AP

Woods closer to Snead than Nicklaus at Memorial WHAT to expect from Tiger Woods this year remains a mystery. AP

UBLIN, Ohio—Winning the Masters gave Tiger Woods his 15th major and allowed him to resume the pursuit of Jack Nicklaus and his 18 majors. It moved him even closer to another record that Rory McIlroy believes should get more attention. Woods now is at 81 career victories on the Professional Golfers’ Association (PGA) Tour, one short of the official record—as official as the tour can determine—that Sam Snead set from 1936 to 1965. “Especially this day and age, I think it’s more impressive than his major tally,” McIlroy said on Wednesday ahead of the Memorial. “Eighty-two wins... if you’re around for 20 years, that’s four a year, every year. It’s very, very impressive.

I think if you’re winning multiple times a year, you’re doing pretty well. So to have the average that he’s had—eight-win seasons, nine-win seasons—if he does pass that record of Snead’s...it’s almost more impressive than the 15.” Woods is a five-time winner at the Memorial, and the most recent victory at Muirfield Village (2012) was significant because it was his 73rd title on the PGA Tour, which tied him with Nicklaus for second on the career list. What to expect from him this year remains a mystery. He looked like the Woods of old when he won at Augusta National by hitting all the right shots and letting everyone around him make the mistakes. A month later,

Workshop on sports events

HE 2019 Asia Pacific Economic Cooperation (Apec) Workshop on International Sports Events and Local Economic Development will be held on June 3 at The Peninsula Manila hotel in Makati.

Philippine Sports Commission Chairman William Ramirez, Taipei Economic and Cultural Office in the Philippines representative Michael P.Y. Hsu and Apec Sports Policy Network Executive Director Dr. Ching-Hsung

without having played since the Masters, he missed the cut at Bethpage Black in the PGA Championship. Woods attributed his lack of play to the emotional toll of winning the Masters — it had been 11 years since his last major—and to being sick during the three days of practice rounds at Bethpage Black, which limited him to nine holes. He rarely misses the Memorial except for injury or the death of his father in 2006, and Woods wants to start getting his game in gear with the US Open at Pebble Beach just two weeks away. He played the pro-am Wednesday with retired NFL great Peyton Manning, who knows about returning from injury to win the big one. AP

Kao, who is also director general of Sports Administration, Ministry of Education (Taiwan), will attend the event. Senior officials from Japan, Thailand, Malaysia, Indonesia, Vietnam and Taiwan will talk about how each economy drives and invigorates economic development through holding sports events during the Sports Policy dialogue. The seminar will start at 9:30 a.m.

orts

sMirror

Friday, May 31, 2019

Tams stave off Generals’ rally in Filoil hoops

Adorna leads cast of triathletes seeing action in Subic Ironman

OUTHEAST Asian Games gold medalist Claire Adorna headlines the compact cast of triathletes bracing for a fierce battle in the Asian Elite to be held side by side with the centerpiece pro division in the Century Tuna Ironman 70.3 Subic Bay presented by Big Boss Cement, which gets going on Sunday. Joining Adorna in the hunt for top honors and P50,000 prize in the endurance race is Alexandra Ganzon, while veteran campaigner August Benedicto banners the men’s roster that also drew Mark Anthony Hosana, Banjo Norte, Benjamin Raña, Leonard Rondina and Jorry Ycong. Keen competition is also seen in other agegroup divisions with 142 vying for top honors in the 40-44 bracket and 125 and 112 disputing the titles in the 35-39 and 45-49 categories of the event organized and conducted by Sunrise Events Inc. Also on tap are the relay events featuring the male, female and mixed categories with a total of 76 teams chasing the crowns in the event also held to promote an active and healthy lifestyle among Filipinos. Close to a thousand triathletes from 41 countries are all set for what promises to be another challenging race on a practically new course for the 1.9-km swim/90-km bike/21-km run event with the

By Rick Olivares

AR Eastern University (FEU) survived a furious endgame rally by Emilio Aguinaldo College (EAC) to score a 73-72 victory in the Filoil Flying V Preseason Cup on Thursday at the Filoil Flying V Centre in San Juan. The Tamaraws were in control in the first 36 minutes and comfortably led, 70-52, after two free throws by Alec Stockton with 3:32 remaining in the game. EAC, however, came charging back with a trapping defense that blanked FEU in the next three minutes while scoring 15 straight points behind Jethro Mendoza and Marwin Taywan—who combined for nine points in the blitz. FEU held a 70-65 lead with 51.90 seconds left when Stockton was whistled for a technical foul for elbowing Mendoza, who missed his two charities. After another defensive stop, EAC’s Edric Esctacio scored on a putback to make it 70-67, time down to 41 seconds. FEU sophomore point guard LJ Gonzales was fouled and hit one free throw to ease the pressure, 71-67, 28.4 seconds to go. EAC then burned only 10 seconds in its shot clock as Taywan scored on a drive to trim the deficit to 71-69. Gonzales was fouled and knocked down both free throws with 3.3 seconds left to make it a twopossession ballgame, 73-69. Taywan hit a triple but time ran out on the Generals, who succumbed to their fifth loss in six matches. FEU improved to 2-2 won-lost. “We cannot not play for 40 minutes,” FEU Head Coach Olsen Racela lamented. “With the kind of line up that we have, we need to play consistent basketball for 40 minutes.” EAC Coach Oliver Bunyi saw the positives, but also the botched opportunity. “Learning experience for the team. We had a chance to win against a quality team like FEU,” Bunyi said. LJ Gonzales was the only FEU Tamaraw in double digits with 15 points that went with his four rebounds. Taywan and Mendoza combined for 38 points for EAC. In the juniors division, De La Salle Zobel blew out Mapua University, 90-69, behind Kean Baclaan, Jac Macasaet and Kobe dalisay who each scored 19 points. Batang Gilas veteran Bismarck Lina strapped University of Santo Tomas (UST) on his broad back for a 74-70 win over Jose Rizal University. Lina top scored with 22 points laced with 12 rebounds and two assists. UST claimed its first win in three matches while JRU sunk to 0-4. San Beda, meanwhile, won its fourth straight match—98-87 triumph over Adamson University (0-4). Justine Sanchez scored 24 points while Rhayyan Amsali added 22 for the Red Cubs.

COOL SMASHERS PREVAIL Creamline’s Aleoscar Blanco (18) and Alyssa Valdez (2) defend against Pacifictown Army’s Mary Jean BalsePabayo during their Premier Volleyball League match on Wednesday at the Filoil Flying V Centre in San Juan. The Cool Smashers won, 25-21, 25-16, 25-18. NONOY LACZA

MORE EFFORTS UP

race central now at Subic Bay Boardwalk. But focus will surely be on the pro side with Nick Baldwin of Seychelles gunning for another victory at what has become the home of PHL triathlon after ruling the first-ever full Ironman Philippines last year. But he will be up against a crack list of rivals, headed by former three-time world champion Tim Reed and fellow Australians Sam Betten, Tim Van Berkel and Conor McKay with Colombia’s Rodrigo Acevedo and Oli Stenning of Great Britain boosting the cast. Clashing in the women’s pro section are Swiss Caroline Steffen, Aussie Dimity Lee Duke, New Zealand’s Laura Wood, Manami Iijima of Guam and Lisa Tyack, another star from Down Under. Meanwhile, the Alaska Fortified IronKids will usher in the Ironman 70.3 on Saturday with more than 300 junior athletes clashing in the swimrun event also held to promote fitness among the youth and keep them busy and away from vices. The gun start for the male pros and male Asian Elite will be at 6:20 a.m., with the female pros and those in the Asian Elite kicking off their respective bids two minutes later. The rolling gun start for the age groupers and relay participants will be held 30 minutes later.

Suha rips Cignal in The Nationals Dota 2 second conference finals

TO SAVE BOXING R

USSIA’S Umar Kremlev has called for the entire leadership at the International Boxing Association (Aiba) to be replaced and backtracked on his intention to run for president in a series of proposals he claimed will help preserve the international federation’s future. Kremlev, a member of the Aiba Executive Committee whose influence appeared to be growing within the governing body until it was suspended by the International Olympic Committee (IOC), revealed he would create a “special fund” to help wipe Aiba’s debt. The Boxing Federation of Russia secretary, general had originally proposed to personally clear Aiba’s arrears, which stands at around $17 million. The lack of due diligence carried out by Aiba on the offer, welcomed by executive director Tom Virgets but which has not yet been officially ruled on by the Executive Committee, was among several severe

BOWLES, YAP REUNITE IN E-PAINTERS JERSEY ORMER champion import Denzel Bowles reunites with James Yap—this time at Rain or Shine—as the Elasto Painters debut against the Meralco Bolts in the Philippine Basketball Association Commissioner’s Cup on Friday at the Mall of Asia Arena in Pasay City. Bowles and Yap worked together in the 2012 titular run of the then B-Meg Llamados (now Star Hotshots). But times have changed and the duo dons the Elasto Painters jersey against the Bolts (1-2 wonlost) at 7 p.m. Coach Aris Dimaunahan, Ray Parks Jr. and the rest of the Blackwater cast, meanwhile, hope to continue their stellar campaign as they stake their 3-0 card against debuting Phoenix at 4:30 p.m. Settling for second place in the elimination round of the recent Philippine Cup, Rain or Shine cruised to the semifinals after disposing off NorthPort in the quarterfinals. After going 2-0 in their semifinals against the Magnolia Hotshots, the Elasto Painters lost steam in the seven-game duel. Rain or Shine’s stint in the same conference last season was no different. With import Reggie Johnson at the forefront, the Elasto Painters topped the eliminations, booted out GlobalPort in the quarterfinals, but lost to the Barangay Ginebra Gin Kings in the semifinals. The team now pins its hope on Bowles, who has played for the Magnolia franchise in all his PBA stints in 2012, 2013, 2015 and 2016. Bowles played in a Paraguay and Japanese league before coming over to the PBA. He will be up against the Bolts’ Gani Lawal, who averages 29.5 points and 24 rebounds in three games. Lawal’s biggest game yet in the league came in a 95-110 loss to Barangay Ginebra, where he had 38

points and 20 rebounds. In the offseason, Rain or Shine dealt its big man Raymond Almazan to Meralco, but the latter has yet to benefit from the transaction as he big man is recovering from an ankle injury. With Almazan still unavailable, Baser Amer and Trevis Jackson are tasked to help carry the fight for the Bolts. In their lone win, Amer collected 21 points, while Jackson added 17 to supplement the effort of Lawal’s 25 points. Meralco lost to Blackwater (91-94), with Lawal ending up as the lone warrior with 34 points in 43 minutes of action. Ramon Rafael Bonilla

concerns outlined by the IOC Inquiry Committee in its report. Kremlev said the offer “still remained in force”, despite the issues raised by the IOC Inquiry Committee, which questioned its source and also said the proposal, coupled with his intention to run for President, constituted a “major conflict of interest.” He claimed that “people, individuals and legal entities who are not indifferent to boxing will attract funds, including me,” will put money into the fund to eliminate the debt and that he would seek the involvement of an auditing firm to “report on where the money came from and how each debt was repaid.” “If someone doubts that we can repay debts, we are ready to show this transparently in the nearest future,” the European Boxing Confederation first vice president added. “We have already begun negotiations.” Kremlev also called for Aiba to hold an Extraordinary Congress if the IOC Executive Board’s decision to suspend the organization as the Olympic governing body for the sport and strip it of the right to run the boxing event at Tokyo 2020 is ratified at next month’s Session, which is expected to be a formality. He warned this would plunge the “world of amateur boxing into chaos for more than a year” and that Aiba “must not allow this to happen.” The Congress would be staged to “hold elections, change the entire system completely and to reelect the entire Aiba leadership.”

This is likely to include the Aiba Executive Committee, which the Russian sits on, and other key positions within the national governing body. He also appeared to retract his declaration earlier this year that he would stand to replace former President Gafur Rakhimov, who stepped aside in March and whose election as the head of the organization was the main reason Aiba was suspended by the IOC owing to his status with the United States Treasury Department as “one of Uzbekistan’s leading criminals.” “My goal is not to become the head of Aiba, but to help reanimate the organization,” he said. “We must move from words to deeds, to convene an Extraordinary Congress to invite observers from the IOC and from the sports community and to hold elections and change the entire system completely, to reelect the entire Aiba leadership.” Kremlev also claimed Aiba should radically change its judging and refereeing— highlighted as a major concern by the IOC Inquiry Committee—by moving to an electronic system. The 36-year-old—whose name was changed from Umar Lutfuloev, allegedly because of past criminal convictions— claimed this would “eliminate the human factor” and remove the possibility of a repeat of the scandals which have marred every Olympic boxing tournament since Athens 2004. Insidethegames

THE Suha-Execration Punishers receive their prize of P400,000 from The Nationals Commissioner Ren Vitug (left). In photo are Suha members Kimuel “Kimo” Rodis (captain), Marvin “Yaha” Canlas, James “Jamesy” John, Jobe Nkemakolam (team owner), Erin “Japoy” Ferrer, Arnold “Bhm” Garcia Jr. and Coach Jeffrey “Foxx” Fortunato.

UHA-EXECRATION Punishers dominated Cignal Ultra Warriors, 3-0, in a best-of-five series to rule The Nationals’ second Dota 2 Conference on Sunday at the Gariath Concepts Eastwood City in Libis, Quezon City. The title conquest was sweet revenge for Suha, which bowed to the same opponent in the previous conference. Suha was awesome all conference long and topped the group stage capped by a 2-1 tiebreaker win against the Warriors in the elimination round. While results between the two teams were always close, the championship was totally different. After an intense pendulum battle in Game One, Suha drew the momentum on its side and never looked back. The Warriors, no strangers in come-frombehind victories, weren’t able to close the gap and fizzled out at crunchtime. Earlier on Sunday, they rose from a 0-1 hole against PLDT-Smart Omega in the semifinals. With their victory, the Punishers earned P400,000, while the Warriors received P200,000. Omega got P100,000 for finishing third.

Sports official to NSAs: Show your patriotism

DENZEL BOWLES is back to wow the local fans.

VOLCANOES IN FINAL The Philippine Volcanoes score a 39-22 victory over top-ranked Sri Lanka in the

Division 1 Asia Rugby Championships in Chinese Taipei on Wednesday night to set up a final rematch against Singapore, 18-13 winner over the host team. The final is set on Saturday at 7 p.m. at the Taipei Municipality Stadium.

Despite improved performances, Happy Feet Emperors and Bren Epro again failed to make the playoffs. Cignal and Suha will again square off on Saturday with PLDT as the wild card in Dota 2’s season finale that offers a P600,000 prize pool— with P300,000 going to the winner, P200,000 to second place and P100,000 to third place. After winning the first two conferences of Dota 2, the two teams will face off in a best-ofthree series with the winner advancing in the finals. The loser takes on PLDT in a three-game playoff to determine the last finalist. The Nationals, headed by commissioner Ren Vitug, is the country’s premier eSports league. Dota 2 competition is one of the three games featured in the inaugural year program. Mobile Legends: Bang Bang will be played next month, and Tekken 7 will start in August. More franchises will be introduced once ML:BB starts. The Nationals could be seen on Facebook (with live stream of games), Twitter and Instagram at PHNationals and on TV at 5Plus via ESPN5 and One Sports and eGG Network via Cignal TV.

TOP sports official on Thursday called on national sports associations (NSAs) to insulate themselves from politics and focus on preparations for the Philippine 30th Southeast Asian Games. Party-list Rep. Mikee Romero (1-Pacman) asked NSA officials to avoid “politicking” so as not to disrupt their athletes’ training for the November 30 to December 11 Games. “Show your patriotism by helping the Philippine Olympic Committee [POC] and the Philippine SEA Games Organizing Committee [Phisgoc] in their massive tasks to stage a successful event,” Romero said. “Remember, our neighbors are closely watching us.” Instead of sowing discord, Romero, chairman of the House Sub-committee on Sports and vice chairman of the head committee Youth and Sports, said that as sports leaders, they should work for a win-win solution knowing full well that the POC, under the leadership of Ricky Vargas, is doing its best to make the SEA Games memorable in terms of hosting and achievement. “I have known Mr. Vargas for quite some time now, he is an excellent leader and he has demonstrated this in the PBA [Philippine Basketball Association] Board,” said Romero, who owns NorthPort in the pro league besides being the chairman of the country’s polo association. “Our reputation is at stake here, so better unite so you can help our athletes focus on their training instead of putting the POC in bad light,” he said. “You’re just destroying our image abroad.” Romero, who served as godfather of the 2007 national basketball team, was glad after Philippine Sports Commission Chairman Butch Ramirez accepted the POC’s challenge for him to become the country’s chef de mission to the SEA Games. Ramirez initially declined the offer, saying he’s already helping the country’s preparations as head of the government’s sports arm. “Good thing Chairman Ramirez has accepted the position of chef de mission.” Romero said. “Our athletes are now in good hands.”

THE Cubs’ Albert Almora Jr. (center) takes a knee as Jason Heyward (left) and Manager Joe Maddon talk to him after a foul ball into the stands—hitting a girl in the process—during the fourth inning of their game against the Astros on Wednesday. AP

RISKS OF THE GAME

OUSTON—A young fan was taken to the hospital after getting struck by a foul ball during on Wednesday night’s game between the Chicago Cubs and Houston Astros. Cubs outfielder Albert Almora Jr. hit a line drive in the fourth inning into the field-level stands down the third base line, where it hit the girl. He immediately put his hands on his head and took a couple of steps toward the seats. He then fell to his knees near home plate and was consoled by teammate Jason Heyward and Manager Joe Maddon. “Albert is an emotional young man with children, so that made it even more real to him,” Maddon said. “I understood exactly what he was going through right there.” It took several minutes for Almora, who appeared to be crying, to compose himself and continue the at-bat. Players from both teams appeared shaken up by the scene. Almora still looked to be on the verge of tears after the game. He spoke haltingly as he described what happened and said he knew immediately as he looked into the stands that his ball had hit someone. “Just the way life is,” he said. “As soon as I hit it, the first person I locked eyes on was her.” The girl was picked up by a man who appeared to be with her and he dashed up the stairs not long after she was struck. A photo taken by The Associated Press showed the girl apparently conscious and crying as she was whisked away and nearby fans looked on. After the game, the Astros issued a statement saying the fan was taken to a hospital, but did not disclose any further details on her condition. Almora said he received “unofficial updates” on her condition but he was advised not to share any details. “Right now I’m

Sports BusinessMirror

| Friday, May 31, 2019 mirror_sports@yahoo.com.ph Editor: Jun Lomibao

SEMENYA: I AM A WOMAN O

By Gerald Imray The Associated Press

LYMPIC champion runner Caster Semenya appealed on Wednesday against a decision by sport’s highest court to uphold highly contentious new rules in track and field that force her to take testosterone-suppressing medication or have surgery in order to compete in female races at top international events. Semenya’s appeal against this month’s ruling by the Court of Arbitration (CAS) for Sport in Switzerland will be heard by the Swiss Federal Tribunal, the country’s supreme court. The two courts sit about 400 meters apart in the city of Lausanne. Semenya’s appeal focuses on “fundamental human rights,” her lawyers said in a statement. The appeal asks the Swiss Federal Tribunal to set aside the CAS decision to allow the sport’s governing body to set limits on natural testosterone “in its entirety.” The 28-year-old Semenya, who is from South Africa, lost her case against international track body the International Association of Athletics Federations on May 1. It meant she and other women with one of a specific group of medical conditions known as differences of sex development (DSD) must medically lower their natural testosterone levels to a point specified by the IAAF to be able to run in the Olympics, world championships and other international track meetings. Athletes affected by the rules have levels of testosterone in the male range, the IAAF says, and they must reduce them to be allowed to run in women’s events. The IAAF argues that testosterone’s musclebuilding capacity and ability to help athletes carry more oxygen in their blood gives Semenya and others like her an unfair athletic advantage over other women. The rules, which came into effect May 8, apply to races from 400 meters to 1 mile. That means Semenya, who is a two-time Olympic champion and three-time world champion in the 800 meters, is currently not allowed to run her favorite race unless she takes medication or has surgery. She was due to defend her title at the world championships in Doha,

Qatar in September. Semenya said in the days after CAS’ ruling that she would not take the drugs recommended by the IAAF to alter her natural testosterone and she repeated her defiance on Wednesday. “I am a woman and I am a world-class athlete,” Semenya said. “The IAAF will not drug me or stop me from being who I am.” CAS decisions can be appealed to Switzerland’s supreme court on only a very limited number of grounds. One of them is that a ruling violates a person’s human rights. “The IAAF regulations violate the most fundamental principles of Swiss public policy,” said Dorothee Schramm, the lawyer in

Switzerland who will lead Semenya’s appeal. “In the race for justice, human rights must win over sporting interests.” Semenya’s lawyers added the appeal would ask the supreme court “to consider whether the IAAF’s requirements for compulsory drug interventions violate essential and widely recognized public policy values, including the prohibition against discrimination, the right to physical integrity, the right to economic freedom and respect for human dignity.” The lawyers could also seek a temporary suspension of the IAAF rules to allow Semenya to defend her 800 title at the worlds in Doha. Appeals to the Swiss Federal Tribunal

are typically lengthy cases, with some taking a year or more to be decided. Semenya has battled track authorities for the right to run in what she describes as her natural form for a decade, ever since she was subjected to gender verification tests by the IAAF at the age of 18 when she won her first major title in 2009. The dispute is viewed as one of the most controversial and complex to face sport and it could lead to similar rules being introduced by other sporting bodies. It also has

implications for all levels of sport. While many sports split up competitions into male and female divisions, leading medical organizations generally believe that sex and its characteristics do not always fall neatly into one of two categories. The IAAF rules apply to female athletes with certain differences of sex development and specifically those born with the typical male XY chromosome pattern. The athletes must also have testosterone levels higher than the typical female range, which the IAAF argues gives them their unfair athletic advantage. To compete in the Olympics, world championships or other international track and field events, each athlete must reduce her testosterone level and keep it within the acceptable range for six months prior to competing. The IAAF gives three medical options: a daily contraceptive pill, a monthly testosterone-blocking injection or surgery. The treatments could inhibit athletic performance but by how much is uncertain, while also posing risks of other negative side effects. The treatment has been labeled as unethical by an array of experts, including the World Medical Association, which represents doctors across the world. Athlete medical records and details of DSD tests are confidential but Semenya and Indian sprinter Dutee Chand have fought testosterone regulations. Two other runners, Francine Niyonsaba of Burundi and Margaret Wambui of Kenya, have recently said publicly that they would be affected by the new testosterone rules. Niyonsaba won the silver medal behind Semenya in the 800 meters at the 2016 Olympics in Rio de Janeiro and Wambui won the bronze. It’s unclear how many others are affected. The IAAF says it will not identify athletes with DSD but says there are numerous and “the majority” of them compete in the races covered by the rules.

C CASTER SEMENYA’S appeal focuses on “fundamental human rights.” AP

just praying and I’m speechless,” he said. “I’m at loss of words. Being a father, two boys...but God willing I’ll be able to have a relationship with this little girl for the rest of my life. But just prayers right now and that’s all I really can control.” Following the fourth inning, Almora, who still appeared upset, approached a security guard in the stands near where the girl was sitting and spoke to the guard before the two embraced. “It’s good he let it out,” Heyward said of that moment. “I’m glad he did. That’s hard to deal with.” Maddon said he was prepared to pull Almora from the game, but after his emotional moment with the security guard the center fielder said he was OK to keep playing. “I just want him to understand that this is not under your control,” Maddon said. “There is nothing that you could have done about that differently, so please don’t blame yourself. Of course, it’s an awful moment, but this is a game and it’s out of your control, and you have to understand it.” Like all major league stadiums, Minute Maid Park has netting to protect fans near the field from foul balls. On the third base side in Houston, it extends to the end of the visiting team’s dugout. The girl was sitting in what looked to be the third or fourth row about 10 feet past where the netting ends. Almora was asked if he thinks the netting should be expanded. “Right now obviously I want to put a net around the whole stadium,” he said. Following recommendations from Major League Baseball, by the start of the 2018 season all 30 teams had expanded their protective netting to at least the far ends of the dugouts after several fans were injured by foul balls in 2017. At Yankee Stadium in May 2017, a boy was struck on the head by a portion of Chris Carter’s broken bat. A fan sitting beyond the first base dugout was hit by a 105 mph foul ball off the bat of Aaron Judge in July of that year. And in September, a young girl was injured by another 105 mph foul ball off the bat of Todd Frazier and was hospitalized. Heyward thinks the netting should be expanded even more. “Just safety,” he said. “Well-being of people, because people don’t realize how hard it is to react to a baseball. We go through that. I know they don’t get it. But it’s that hard to react to it. So it would help people. But we know we can’t control it. Stadiums know they can’t necessarily control how fast the game is. But if there’s anything they can do, I guess that would be it. I’m not the stadium police, but I don’t know any other way to stop that from happening.” AP

Football players sue Ohio State

OLUMBUS, Ohio—Thirty-seven former Ohio State athletes, including over two dozen football players, have filed a new lawsuit alleging the university disregarded concerns about a team doctor who sexually abused young men for years. The federal lawsuit filed on Wednesday comes after an investigation concluded Richard Strauss abused at least 177 young men between 1979 and 1997. The new case echoes claims from dozens of alumni in

other lawsuits and identifies only one plaintiff by name: exwrestler Michael DiSabato, whose allegations helped prompt the investigation. He declined to comment on the lawsuit. The athletes’ lawyer, Michael Wright, says he agrees with university President Michael Drake’s statement that there was an “institutional failure.” Drake has publicly apologized. Strauss retired in 1998 and died in 2005. No one has publicly defended him. AP

Provident God

EAR God, the eyes of all look to You for every good thing. In faith and mercy we pray: Satisfy our hunger, oh God. Lift the burdens of those who struggle to provide for their children. Reunite families separated by border conflicts, war or political unrest. Comfort those who are lonely, ill or grieving and desperate. May the peace of the risen Christ rule in our hearts, now and always. Amen. GIVE US THIS DAY SHARED BY LUISA LACSON, HFL Word&Life Publications • teacherlouie1965@yahoo.com

Editor: Gerard S. Ramos • lifestylebusinessmirror@gmail.com

PHOTOS BY GERARD S. RAMOS

Life BusinessMirror

WHAT MAKES A GOOD FRIEND? D3

Friday, May 31, 2019

SEO KANG-JOON OF ‘ARE YOU HUMAN?’

The eyes have it T By dinnA ChAn VAsQUeZ

HE first thing you notice about Korean actor Seo Kang-joon are his eyes—they are brown and sparkling, as if he had just cried and some of the tears still linger. He is unquestionably handsome, as most Korean actors are, with the requisite smooth and fair skin, rosy lips and beautiful brows. But it is his eyes that are Seo Kang-joon’s best features. “Externally, my fans say it is my eyes but honesty is the best side of me,” said Seo Kang-joon through an interpreter during a press conference last week hosted by GMA Network, which becomes his “home” as the media giant begins airing his latest K-drama hit, Are You Human? this week after Love You Two on GMA’s prime-time programming block. Clad in a summer suit and wearing white sneakers, Seo Kang-joon looked happy and rested during the press conference. The 26-year-old actor was also in Manila for his The Last Charm fan meeting presented by CDM Entertainment and MaxPerience Entertainment in partnership with Fantagio Group. In a Wikipedia entry, Are You Human? tells the story of “Oh Laura, a renowned scientist, who is forced to part with her young son, Nam Shin. To cope

with her loss, over the years, she builds various AI robots modeled after him, naming them Nam Shin I, II and III. Decades later, after surviving an attempt on his life, Nam Shin slips into a coma. To protect his position as the heir to a chaebol, Laura sends Nam Shin III to take his place and fulfill his duties. “Kang So-bong was a member of Nam Shin’s security detail until she was disgracefully dismissed. She becomes Nam Shin III’s bodyguard, determined to get to the bottom of his strange comments and behavior. However, she gets more than what she’d bargained for when she starts falling for him—and has to keep him safe from the very people bent on murdering Nam Shin.” Because of his excellent portrayal as Nam Shin, Seo Kang-joon received the Excellence Actor Award at the 11th Korea Drama Awards and the Best Couple Award with his onscreen partner, Gong Seung-yeon, at the 32nd KBS Drama Awards. “Nam Shin has many human aspects that we can all relate to,” said Seo Kang-joon, who was visiting the Philippines for the first time. “Everyone’s so beautiful and friendly,” he said when asked about his first impression of Filipinos. During his fan meeting, Seo Kang-joon was made to try three Filipino dishes. The first one was Ilocos empanada, a pastry with fillings, dipped in vinegar.

He said he liked the empanada itself but found the vinegar too strongly flavored. The second dish was lechon or roasted pig with liver sauce. This one he liked a lot. For dessert, Seo Kang-joon was served leche flan, which is like creme brulee, and he loved it. Leche flan was his favorite out of the three, said Seo Kang-joon, although lechon was a close second. The night before, the actor had a meat dish that he enjoyed but whose name he couldn’t remember. He said he loves meat, pork in particular. The next time he comes to the Philippines, he said he hopes to go to the beach, do some scuba diving, and enjoy the sun and the sea. During his Manila fan meeting, Seo Kang-joon sang some songs and played games with his fans. One got lucky and had a 10-second hug with him while another lucky soul got into a staring contest with the actor. Another two got to partake of the sago gulaman drink that he made himself. He also got to see a video created by his Filipino fans wherein they held signs that read “I love you always forever, near and far closer together,” a line from Donna Lewis’s “I Love You Always Forever.” The 26-year-old actor is also known for his role as Baek In-ho, a handsome and talented pianist in the romantic comedy series Cheese in the Trap, which

previously aired on GMA Network. Right now, Seo Kang-joon is working on Watcher, which will premiere on Korean channel OCN in July. “After this, I will be coming back to Korea to film Watcher, which is a detective thriller. It is an honor to be working with respected artists,” said Seo Kangjoon. His costars include Han Suk-kyu, Kim Hyun-joo, Heo Sung-tae and Park Joo-hee. Among Western stars, he likes Jake Gylenhaal and “the new Spider-Man” (Tom Holland). As an actor, Seo Kang-joon is flattered when he is called an “international star.” “That title humbles me and motivates me to do my very best.” Seo Kang-joon made his drama debut on The Suspicious Housekeeper, which starred Choi Ji-woo, in 2013. He won as best new actor at the 7th Korea Drama Awards in 2014 for his role in Cunning Single Lady. He has also appeared on What Happens to My Family, The Good Doctor (which also aired on GMA), Cheese in the Trap, Entourage and The Third Charm. “I hope you had a great time today and I hope to see you again. Be happy and I’ll be back, all right? Mahal kita,” said Seo Kang-joon to his fans at New Frontier Theater seconds before he left the stage. Needless to say, Seo Kang-joon’s fans were thrilled and shrieked in delight. n

Friday, May 31, 2019

Society BusinessMirror

www.businessmirror.com.ph

Today’s Horoscope By Eugenia Last

CELEBRITIES BORN ON THIS DAY: Colin Farrell, 42; Brooke Shields, 53; Tom Berenger, 69; Clint Eastwood, 88. HAPPY BIRTHDAY: Don’t underestimate others as you move forward this year. Only trust what you know, and always verify what others tell you. Speak with authority and show initiative in all your pursuits. Check out lifestyle options and consider adding more physical fitness to your daily routine. Strive for personal perfection. Don’t let personal problems stand in your way. Your lucky numbers are 2, 9, 16, 27, 34, 43, 48.

ARIES (March 21-April 19): It’s up to you to bring about change or to make things happen. Figure out a logical plan and take physical action. Don’t let negative people deter you from making your dreams come true. Follow your heart and get started. HHHHH

b SPECIALTY Food Retailers Inc. Business Development Head MJ Tantoco (from left), Shake Shack Senior Director for Marketing and Communications-Global Licensing Jacqueline Gonzales, Shake Shack Culinary Director Mark Rosati, Shake Shack Managing Director for Asia Pacific Sean Wagner, and Specialty Food Retailers Inc. Executive Vice President Steve Sarmenta

A scrumptious way to ‘Shake’ it F ILIPINOS are in for a savory treat as Shake Shack has arrived in Manila at Bonifacio Global City. The country’s first-ever Shack will serve up one-of-a kind menu items for the Manila community, only found in the Philippines. “As we spent time exploring the unique and eclectic landscape that is Filipino cuisine, we were inspired by the flavors and artisans we met along the way, and by the food that they’re passionate about,” said Shake Shack Culinary Director Mark Rosati. “We’re thrilled to introduce our Manila-exclusive menu that features just a few of the flavors and ingredients we fell in love with, and are humbled to become part of this vibrant community.” In keeping with the company’s mission to “Stand for Something Good,” 5 percent of sales from the Pie Oh My concrete supports Children’s Hour, an organization that supports projects on education, health and nutrition, and child welfare and

development for Filipino children in need. Additionally, Shake Shack has partnered with Hope in a Bottle to offer Shack2O bottled water. All profits from Hope sales go to building public school classrooms. Finally, to offer treats for those with four feet, Shake Shack has partnered with Whole Pet Kitchen on ShackBurger dog biscuits in both its BagO-Bones and Poochini (ShackBurger dog biscuits, peanut butter sauce and vanilla custard). The Manila menu will also feature Shake Shack’s signature items including the ShackBurger, Shackcago DogT, classic crinkle-cut fries, craft beer from local Engkanto Brewery and Monkey Eagle, Shack Red and White wine, and frozen custard ice cream. Shake Shack’s fine-dining heritage and commitment to community building, hospitality and the sourcing of premium ingredients have helped pioneer a new “fine casual” restaurant category. Fine casual couples the ease, value and convenience of fast

FROM left: (front) Father Richard of Mary the Queen Parish, Arnold Vegafria, Mary Simisim, Pia Wurtzbach, Marlon Stockinger, Bing Limjoco, Blanca Mercado, Carlo Orosa, (back) David Licauco, Fabio Ide, Ervic Vijandre, Christian Bautista and Harry Morris

GEMINI (May 21-June 20): You can talk your way in or out of any situation, but remember to be truthful or someone will call your bluff. Travel, business meetings, pursuing information and socializing with knowledgeable people are favored. Negotiate on your own behalf. HHH

CANCER (June 21-July 22): Rely on your insight and intuition to guide you in matters concerning colleagues, business decisions and partnerships. It’s important to understand what others want before you make a decision to bring about change. HHH

casual with the high standards of excellence grounded in fine dining: thoughtful ingredient sourcing and preparation, hospitality and quality. As a pioneer in this new category, Shake Shack strives to maintain the culinary traditions of the classic American burger stand, while providing guests with a menu of inspired food and drinks, made with carefully sourced and quality ingredients, and always cooked to order. “We’re thrilled to bring the NYC Shake Shack experience to the Filipino community, and are proud of the company’s mission to Stand for Something Good; our burgers and hot dogs use 100 percent allnatural beef, free of hormones and antibiotics, nonGMO potato buns, and the custard is made from real sugar, no corn syrup, and milk from dairy farmers who pledge not to use artificial growth hormones,” says Anton Huang, president of SSI Group, whose Specialty Food Retailers Inc. is the exclusive franchise holder of Shake Shack in the Philippines. n

Call it a day BLUEWATER Day Spa celebrated another successful grand opening with an official ribbon-cutting ceremony for their sixth branch at Ortigas Avenue, one of the busiest business districts in the Metro. Spotted at the ribbon-cutting ceremonies were Miss Universe 2015 Pia Wurtzbach, international car racer Marlon Stockinger, Christian Bautista, David Licauco, Harry Morris, Fabio Ide, Ervic Vijandre and new brand ambassadors Raymund Isaac, Enzo Mondejar, Jay Buen, Sidney Yap, Ton Lao, Cez Young, Leo Posadas, Jake Galvez, and Dino Lazado. BlueWater Day Spa (www.facebook.com/ bluewaterdayspa) started its dedication to catering to beauty and wellness needs in 2005. It offers a wide array of pampering services that include facial treatments like the Oxygen Infusion Therapy, unique massages like the Manual Lymphatic Drainage and the Four-Hand Massage, machine treatments like the Diamond Peel and the Phototherapy Flash, hand and foot treatments and spa

TAURUS (April 20-May 20): Make choices based on your needs. Refuse to let what others do or how others react change your plans. Stand strong and do your own thing. Personal physical alterations are in your best interest, even if someone disagrees. HHH

LEO (July 23-Aug. 22): Before making a change or jumping from one position to another, you should consider your motives and how your choices will affect others. Focus on how you can make a positive difference in your community. HHH

VIRGO (Aug. 23-Sept. 22): The less time you spend trying to persuade others to do things your way, the less likely it is you will gain support. Take physical action, and do whatever it takes to put your plans in motion. Your actions will draw backing. HHHHH

LIBRA (Sept. 23-Oct. 22): Look out for your interests. Speak up and refuse to let anyone take you out of your comfort zone by making unrealistic demands or toying with your feelings to guilt you into something you don’t want to do. Rely on yourself. HH

SCORPIO (Oct. 23-Nov. 21): Getting together with people who share your beliefs or interests or finding out more about your family background will help you understand your strengths and weaknesses. Don’t settle for less when you can have so much more. HHHH

i j

SAGITTARIUS (Nov. 22-Dec. 21): The past can keep you from making a terrible mistake. Don’t let gullibility or fond memories cause you to give in to someone looking for a handout. HHH CAPRICORN (Dec. 22-Jan. 19): Get serious about life, love and how best to use your attributes to your advantage. Physical improvements, romantic gestures and commitments are favored. Don’t take on a challenge or dare that will disrupt your stability. HHH

AQUARIUS (Jan. 20-Feb. 18): Make changes at home that will benefit you as well as those you live with. Discuss your plans and delegate jobs in order to free up time to tend to other important matters. HHHH

PISCES (Feb. 19-March 20): You’ll face opposition if you are reluctant to fulfill your duties or responsibilities. It’s OK to be different, but first you have to take care of business and live up to your promises. HH

packages for couples and brides-to-be. If customers are looking for something different, BlueWater Day Spa also offers a Spa Theater where

customers can have their hands and feet treated while watching a movie. The Ortigas Branch Spa Theater can seat 28 people.

BIRTHDAY BABY: You are quick-witted, curious and enthusiastic. You are intellectual and adventurous.

‘catching some z’s’ BY DAVID ALFRED BYWATERS The Universal Crossword/Edited by David Steinberg

ACROSS 1 Ruby, for one 4 Love, in Latin 8 Chess piece that moves diagonally 14 Dundee denial 15 Salt-N-___ 16 Vowel-shaped construction supports 17 Lawyers’ headwear in Cyprus? 20 Prefix meaning “trillion” 21 Release, nautically 22 Otolaryngologist, for short 23 Little tantrums 25 Herding dog 27 Showy golfer’s strategy? 32 Blabbed 33 Posterior 34 Get older gracefully 38 Tightrope walker’s asset 41 Tool near a leaf pile, perhaps 42 Actor Alan 43 Parisian salon concerns? 49 Queen bees’ mates 50 Privileged 53 ___-la-la

6 Greatest extent 5 58 Fateful March date 59 Disappointing fireworks? 62 Brunch cocktail 63 Algorithm-driven camera mode 64 Greek vowel 65 Man, for the Sphinx’s riddle 66 Gin flavoring 67 Retiring DOWN 1 Swarming pests 2 Unlike wily kids’ peas 3 Like liters or meters 4 Financing abbr. 5 It typically doesn’t list specials 6 Unrestricted audition 7 Novelist Chandler 8 Closet door style 9 Portugal’s peninsula 10 Puts into words, informally 11 Unclarity 12 Portent 13 Sibilant surreptitious signal 18 “Egad,” e.g.

9 Sign on a real-estate sign 1 24 Place 26 Book before Nehemiah 28 Sen. or rep. 29 Buddhist sect 30 Fond du ___, Wisconsin 31 Before, to a bard 34 (I heard the doorbell!) 35 Long fish 36 ___ out a living 37 Proceed unhurriedly 38 Euphoric 39 Wood shaper: Var. 40 Be indolent 42 Anatomical rings 44 Carnival ride? 45 Stolen vehicle 46 Home loan org. 47 English queen’s name: Abbr. 48 Moves edgewise 51 Scary shark parts 52 Response to a prompt 53 Game of Thrones rating 54 Horse restraint

5 5 57 60 61

Rocker parts Bandleader Puente Drag behind Ballet-obsessed Muppet

Solution to yesterday’s puzzle:

www.businessmirror.com.ph

Relationships BusinessMirror

Friday, May 31, 2019

URC HELPS STUDENTS EMERGE AS INNOVATIVE BREAD AND PASTRY MAKERS

What makes a good friend?

By Alexis Elder University of Minnesota Duluth

OOD friendships seem worth celebrating. But for many of us, tensions can appear from time to time between being a good friend and doing “the right thing.” When faced with, for example, a situation where it’s tempting to lie to cover for a friend, it can seem as though friendship and morality are on a collision course. I am an ethicist who works on issues involving friendship, so this tension is of great interest to me. It can be tempting to say that bad people are likely to treat their friends badly: For example, they could lie, cheat or steal from their friends. But it seems logically possible for a person to be bad to some people but good to others. So are there other, more fundamental reasons to think that being a good person is necessary for a good friendship? PROBLEMS FOR FRIENDSHIP AND MORALITY LET’S begin by looking at cases where morality and the demands of friendship are in conflict. Friendship seems to require that we be open to our friends’ ways of seeing things, even when they differ from our own. It also seems to require that we be concerned for our friends’ well-being. It’s not just that we desire good things for them. We also want to be involved ourselves in providing at least some of those goods. This is one thing that distinguishes the care of friends from that of mere well-wishers. But we also need to remain open to our friends’ beliefs about what is good for them: Blithely acting on what we think is best for our friends, when the friend disagrees, seems paternalistic. In some circumstances, like hiding a friend’s keys when he’s been drinking, a little paternalism might be permitted. But it seems a poor general feature of friendship. Some theorists argue that it is this openness to friends’ perspectives that introduces moral danger. For example, friendship with a person who has different values can gradually change your own, including for the worse. This is especially true when the relationship makes you inclined to take their point of view seriously. Other scholars argue that it is the combination of the desire to help friends with this openness to their point of view that poses the biggest problem. In making this argument, scholars Dean Cocking and Jeanette Kennett quote a line from Jane Austen’s Pride and Prejudice. In this line, the protagonist Elizabeth

Bennett tells the cold and inflexible Mr. Darcy that “a regard for the requester would often make one yield readily to a request, without waiting for arguments to reason one into it.” In other words, if your friend asks you to tell the boss she’s sick, not hungover, you should do it, just because she asked. ARISTOTLE ON VIRTUE IN FRIENDSHIP IN order to respond to these concerns, it is helpful to review what Aristotle says about friendship and being a good person. For Aristotle, there are three main kinds of friendships. One, friendships of utility: as, for example, between friendly coworkers. Two, friendships of pleasure: for example, between members of a trivia team. And, three, friendships among those who find each other good and valuable for their own sakes. This last one he calls friendships of virtue, the best and fullest form of friendship. It seems reasonably clear then why valuing someone for their virtues is characteristic of good friendship. Unlike the other forms of friendship, it involves valuing friends for themselves, not just for what they can do for you. Furthermore, it involves thinking their character and values have worth. Some might worry that this sets the standard too high: Requiring that good friends be perfectly good would make good friendship impossibly rare. But Aristotelian scholar John Cooper argues that we can just take this to mean that the quality of a friendship varies with the quality of the friends’ characters. Mediocre people will tend to have mediocre friendships, while better people will have better friendships, all else being equal. WHAT IS VIRTUE? THIS might all seem hopelessly subjective, if we leave “good person” undefined, or think it is relative to a person’s individual values. But Aristotle also offers an objective account of what it takes to be a good person. A good person, he says, is someone who possesses the virtues. Virtues, like courage, justice and moderation, are individual qualities of character that help us live good human lives, alone and together. Aristotle argues that just as sharpness is a quality that helps a good knife perform its function well, we function better as human beings when we can protect what we value, work well with others and enjoy pleasures in moderation. He defines bad qualities, or vices, as those qualities that make it harder to live a good life. For example,

cowards have trouble protecting what matters, gluttons don’t know when to stop consuming, and unjust people exhibit what he calls “graspingness,” grabbing for more than their share. So, they have trouble working well with others, which can be a major impediment for a social species. Last, and crucially, he says that we build up these qualities, both good and bad, through repeated practice: We become good by repeatedly doing good, and bad by the reverse. CONNECTING VIRTUE AND FRIENDSHIP HOW then can this help us understand the relationship between being a good person and being a good friend? I have already said that friendship involves both openness to friends’ perspectives and helping them out. Assuming Aristotle is right about the relationship between good character and ability to live well, it is not good to enable a friend who acts badly, because doing so will make it harder for that friend to live a good life. But friendship is also not served by riding roughshod over the friend’s own beliefs about what he or she needs, even if those beliefs are mistaken. So the only people we can consistently do well by as friends are those who have reasonably good character. We can, of course, change our own values and reactions to better match our friends. Much of this can happen unconsciously, and some such change might even be healthy. But when this change is for the worse (for example, becoming cowardly or unjust), we seem to be harmed by the association. If time spent with my lazy friend tends to make me less motivated when it comes to my own life, I arguably am worse off. This can make such friends bad to us, even if unintentionally. Really good friendship, it turns out, isn’t even possible unless both friends are reasonably good. The apparent tension between friendship and morality turns out to be just an illusion that results from failing to think carefully and clearly about the relationship between openness to our friends’ perspectives and our interest in helping our friends. As Aristotle put it, “The friendship of bad men turns out an evil thing [for because of their instability they unite in bad pursuits, and besides they become evil by becoming like each other], while the friendship of good men is good, being augmented by their companionship; and they are thought to become better too by their activities and by improving each other; for from each other they take the mold of the characteristics they approve.” n

PARENTS constantly admonish their children to eat their vegetables, but who would have ever thought that one could enjoy them with merienda or dessert? Such were the innovative ideas for breads and cakes showcased by senior high students from public schools who participated in the Flourish Pilipinas Baking Competition organized by Universal Robina Corp. (URC) Flour and Pasta Division. The competition is part of the Flourish Pilipinas program developed by URC Flour that supports proper, standardized and professionalized development of students taking up bread- and pastry-making classes under the Department of Education’s technical-vocational livelihood track for senior high-school (SHS) students. URC Flour developed an intensive and interactive multimedia toolkit aimed at enhancing the learning experience of SHS students in bread and pastry making, and increasing their success rate not just in the classroom but in eventual jobs and entrepreneurial opportunities after graduation. With continuous support and help from programs such as Flourish Pilipinas, Filipino students will definitely be able to quickly and more confidently rise to success. The 2019 Flourish Pilipinas baking competition was supported by Masflex, Kitchen Pro, Kitchen Aide, Sonlie International, Bakersfield, RM Boxes, Treasure Life by SPVC, Oleofats, Piattos, Refresh and Great Taste.

RECYCLE YOUR BLUES

INSPIRED by the Gap for Good initiatives to build optimism and sustainability, Gap Philippines will once again run its Recycle Your Blues campaign on May 31 to June 2. Donate old denim jeans at Gap and get 40-percent off on regularpriced jeans. One pair of denim jeans donated will entitle the customer one 40-percent off voucher valid on one pair of denim jeans. Customers will also receive a 30-percent off voucher for regular-priced items so they can complete their look with new styles from the Gap Summer collection. Any brand of jeans will be accepted as long as it’s sanitized and reusable. Don’t have any old jeans to donate? Walk-in customers who are not able to donate their old denim will be entitled to enjoy 20-percent off regular-priced items. Members of the Gap VIP Loyalty Program, meanwhile, will also receive a 35-percent off voucher code that they can use for online purchases on gap.com.ph, which will be valid from June 3 to 30. Not a Gap VIP member? Gap is also giving non-VIP customers a 30-percent off voucher code for when they shop on gap.com.ph. This is the third year that Gap is running Recycle Your Blues after launching it last 2017 with Hands On Manila Foundation Inc. Gap was able to collect 4,584 jeans last 2017, which were donated to children in shelters and impoverished communities. This year, Gap is partnering with Hands On Manila once again, where the denim jeans will be donated to their beneficiaries. Hands On Manila is a volunteering organization committed to empowering individuals to act as citizens and realize their ability to contribute to the community. Hands On Manila will not only be using the denim for donations, but also in creating a livelihood program which aims to teach the urban poor how they can recycle old jeans. The Recycle Your Blues campaign will run at the Gap stores in Alabang Town Center, Central Square, Glorietta 4, Shangri-La Plaza, SM Mall of Asia, SM Megamall, Ayala Malls TriNoma, Abreeza and Ayala Center Cebu.

Mormon county commissioner in Utah comes out as gay By Morgan Smith The Associated Press SALT LAKE CITY—Republican lawmaker Nathan Ivie says it took him more than 20 years to come to terms with his identity. But on Wednesday morning the 40-year-old Utah County commissioner sat in front of his computer and publicly shared the secret that has caused him pain and confusion since he was nine years old: He is gay. In a video posted to Facebook that has since been viewed more than 4,000 times, Ivie embraces his sexual orientation and recounts the difficult experience of growing up feeling at odds “spiritually and biologically.” Ivie is a member of the Church of Jesus Christ of Latter Day Saints, but he declined to comment on his faith. The Utah-based faith strictly opposes

gay marriage and still considers same-sex relationships to be a serious transgression. Many residents of Utah County, which is south of Salt Lake City and includes the church-owned Brigham Young University, are members of the church. The confusion Ivie felt led to his attempted suicide at age 22, then attempts to “cure himself” of gay feelings, he said. The first-term commissioner said his announcement was inspired in part by his work with families who have lost LGBTQ children to suicide. “That really makes you reevaluate your life, and what you’re doing as a leader to prevent that kind of stuff,” Ivie said. Interacting with gay couples through his passion for the outdoors and photography helped Ivie accept himself, he said. He recently had the opportunity to photograph a samesex couple for their wedding.

“The love they shared and the way they looked at each other was the same as any other couple,” he said. “It helped me realize, ‘Maybe I’m not broken.’” Ivie choked up reflecting on the support he has received from family and friends since coming out since the announcement, which he said has only strengthened his relationships. “It’s been liberating, just a huge burden off of my shoulders,” he said. Jackie Biskupski, the first openly gay mayor of Salt Lake City, joined a chorus of local politicians who applauded Ivie’s decision to come out: “All the best to you, I love how a simple act of love among strangers helped you find your truth and that you are being embraced by family and friends,” she wrote to Ivie on Twitter. Fellow Utah County Commissioner Tanner Ainge also

tweeted his support. “My instinct is just to embrace @IvieNathan. Today I stand with him as a friend, valued colleague, and fellow Republican. His story will provide strength and hope to those feeling the lonely despair that almost took his life and has taken too many in our community #HeartOfUtah,” Ainge tweeted. Though Ivie and his wife of 13 years have decided to separate, they will co-parent their two young children. They recently spent Mother’s Day together, and he still refers to her as his best friend. Ivie said he hopes the announcement encourages other young people struggling with their identities to accept themselves. “It’s OK to be different, it’s OK to live authentically,” he said. “You can be gay and a Republican...you need to trust that people will love you for who you really are.”

URC Flour’s Flourish Pilipinas Baking Competition provides an opportunity for senior highschool students to put into action the lessons they have learned in bread and pastry making in their technicalvocational track studies.

Show BusinessMirror

Friday, May 31, 2019

www.businessmirror.com.ph

Amid the chaos, Sara Bareilles finds a new voice Kit Harington checks into wellness center post-‘Thrones’ LOS ANGELES—Game of Thrones star Kit Harington has checked into a wellness retreat to work on what his representative says are “personal issues.” A representative for Harington said on Tuesday that the British actor was utilizing a post-Game of Thrones break in his schedule to spend time at the facility. No additional details were released. Harington played Jon Snow in HBO’s widely popular fantasy series Game of Thrones, which ended after eight seasons this month. The 32-year-old actor is married to his Game of Thrones costar Rose Leslie. AP

GMA Network’s Regie C. Bautista

GMA execs return as jurors in Promax Global Excellence Awards 2019 TWO GMA Network executives return as judges in the prestigious Promax Global Excellence Awards 2019 happening in Los Angeles this June. GMA Network Chief Risk Officer and First Vice President for Corporate Strategic Planning and Program Support Regie C. Bautista and Assistant Vice President for Creative Services Eduardo B. Garcia once again join an exclusive group composed of the industry’s most accomplished executives, creatives, and production professionals tasked to decide and recognize the finest work in television and promotion marketing. Bautista supervises GMA’s corporate strategic planning including multi-platform marketing promotions, creative services, media and on-air continuity, and digital media divisions. Through her vision and leadership, the network’s Program Support Department has received numerous recognitions and accolades from both local and international awardgiving bodies. Meanwhile, Garcia oversees the network’s division in charge of developing and executing branded and integrated promotional campaigns for GMA and its platforms, channels and programs. He oversees a dynamic team composed of creative managers, writers, designers, and production personnel, as well as develops and implements compelling marketing strategies and ensures their adaptability to current and emerging media. Bautista and Garcia were responsible for GMA’s gold and silver medal wins, as well as some finalist citations in the previous Promax Awards. The Promax Awards are the world’s top prize for outstanding achievement in entertainment marketing and design. It celebrates brand-defining campaigns that convert viewers into fans, build audiences on every screen, and drive bottomline results for the biggest media companies in the world. BBC Studios Creative, CNN Worldwide, Fox Networks Group, HBO, National Geographic and NBCUniversal International are among this year’s finalists.

By Gary Gerard Hamilton The Associated Press

SARA BAREILLES’S latest album Amidst the Chaos, released in April, marks her return to pop music after a nearly six-year hiatus. It follows 2013’s The Blessed Unrest, which boasted the successful single “Brave” and scored her a Grammy nomination for album of the year. AP

EW YORK—Feeling “lost” after Donald J. Trump won the US presidential election, Sara Bareilles found herself in a meditation class to help deal with the new American reality. “I felt like the world was on fire and I didn’t have any tools to just cope with the idea that I was in a catastrophe,” she said. “It was just like apocalyptic for me.” The one thing she could do? Write songs. Her emotions, combined with navigating through an increasingly divided country, led to her latest album, Amidst the Chaos. “For me the thing that always stays the most important is to feel that I’m being authentic and truthful in terms of what my messaging is,” Bareilles said. “And I think I’ve gotten less afraid.” Amidst the Chaos, released last month, marks her return to pop music after a nearly six-year hiatus. It follows 2013’s The Blessed Unrest, which boasted the successful single “Brave” and scored her a Grammy nomination for album of the year. During that gap, she wrote music for and later starred in the Broadway musical, Waitress. She’s earned two Tony Award nominations and released the theater album, What’s Inside: Songs from Waitress, in 2015. Bareilles said theater “took over my whole life,” and she wanted to write music for herself again. That’s when she got in touch with iconic producer T Bone Burnett, who has won 13 Grammys and an Oscar. “The algorithms may place her in more of a pop place with Katy Perry or something like that. [But] as an artist, as a songwriter, she’s much closer to Dylan,” Burnett said. Labeling Amidst the Chaos a political album, however, is fair—and unfair. It’s filled with camouflaged love songs like “No Such Thing” and “If I Can’t Have You.” “Those are basically direct love songs to the Obamas, which I feel like at some point I’m gonna get a cease-and-desist because I’m such a fangirl,” Bareilles said with a laugh. “I’m a proud believer in their messaging and their leadership and their grace. So I found that after the election, I was really heartbroken. I think a lot of people were.” But don’t be confused—Amidst the Chaos is not anti-Trump music as there are no mentions of the president by name on the project. Instead, it features Bareilles speaking out more than ever. “I’m 39 now, I turn 40 this year,” she said. “When I look back on my life, I want to feel like I was outspoken for the things that really fall into my belief system and the causes and the people that I believe deserve advocacy. I really want to be someone who speaks up for them.” She added with a sly smile, “If that’s upsetting— sorry, not sorry.” The Bareilles-Burnett combo has been decades in the making, even if he was unaware. “He’s been on my bucket list my whole life,” she said. “Wrote letters to him when I was in my teens.” Burnett helming the project gave her the opportunity to sit at a master’s footsteps. “I had a little journal with me and there were so many bits of wisdom. And every time T Bone would say something,

it sounded like a freakin’ fortune cookie.” But what might be surprising to Bareilles is that Burnett, 71, reciprocates the sentiment. “I look at her as a teacher, as well,” he said. “I’m almost twice as old as she is, so I can understand how I could slip into a teacher role. I’ve certainly had a lot of experience. She’s a smart person, and I have great respect for Sara.” So much respect, he said her song “Orpheus,” a tune about being fearless and hopeful in a chaotic world, is “one of the best songs I’ve ever heard.” The confidence Burnett stirred up gave Bareilles, who will launch a tour this fall, the freedom to try things she had never accomplished before. For instance, her song “Saint Honesty” was recorded in one take. Burnett said love made it possible. “I just remember loving her and appreciating what

she was doing,” he said. “And if you genuinely love the thing that you’re doing and the people you’re working with, it’s an easy job.” Love is a concurrent theme pulsating through Bareilles’s music. While there are songs like “Armor,” birthed from her Women’s March participation, and “A Safe Place to Land,” a collaboration with frequent Trump-critic John Legend created when she and cowriter Lori McKenna saw footage of detained immigrant children last year, it’s still an album filled with stories from the heart. “Love has always been my deepest motivator,” said Bareilles, who wrote the track “Poetry by Dead Men” about her boyfriend. “I think that if there’s any one message that I believe is worth sending—it’s that to love and be loved this is the greatest gift.” n

QCinema Film Festival 2019: 6 short films to be excited about THE QCinema Film Festival (Qcinema, www.facebook.com/QCinemaPH) prepares for another year of showcasing Filipino talent, announcing its new set of grantees. Running from October 13 to 22, QCinema has chosen six short films from emerging local filmmakers for its QCShorts Competition. QCinema has grown to become one of the most anticipated film festivals in the country. Now on its seventh year, the festival has curated six short films boasting a diverse selection, with different themes emphasizing on the creativity and originality of the chosen filmmakers. These short films include Excuse Me Miss, Miss, Miss by Sonny Calvento; Here, Here by Joanna Marian Cesario; Isang Daa’t Isang Mariposa by Norvin de los Santos; Judy Free by Che Tagyamon; SPID by Alejo Barbaza and Mervine Aquino; and Tokwifi by Carla Pulido Ocampo. Excuse Me Miss, Miss, Miss tells the story of a salesgirl who discovers the ultimate secret to regularization.

EXCUSE Me Miss, Miss, Miss

Here, Here is about Koi, a 22-year-old who returns and refamiliarizes himself with his home years after a foreign extraction company began its mining operations. In Isang Daa’t Isang Mariposa, a 100-year-old pious and pragmatic Lola Perla visits her ex-lover’s son to bail him out of jail to dance with her in exchange for the money after claiming the P100,000 award from the government for centenaries. Judy Free is about a young girl and her father. Her reality is intruded when

HERE, Here

her father suddenly comes home as an animated doodle figure after being away for almost a decade. SPID tells the story of a retiring hitman in the midst of a global epidemic that causes a delay of sight from sound who must honor one last mission: to eliminate the city’s biggest suppliers of spud, a potent drug that syncs one’s senses. Tokwifi focuses on a 1950s mestiza star who is trapped inside a television that fell from the sky, dreaming up of a romantic

ISANG Daa’t Isang Mariposa

romp on the rice terraces, with a Bontok Igorot man who does not know how to kiss. The competition grantees this year has been given a production grant of P200,000 while retaining exclusive rights to their films. These filmmakers will compete for the Audience Choice Award for Short Film, QC Shorts Jury Prize and Best Short Film. Aside from the QCShorts Competition, the Asian Next Wave Competition and RainbowQC will also feature works from local and international filmmakers.

Motoring BusinessMirror

Henry Ford Awards Best Motoring Section 2007, 2008, 2009, 2010 2011 Hall of Fame

Editor: Tet Andolong

Friday, May 31, 2019 E1

ISUZU UNVEILS D-MAX BOONDOCK EDITION J Story & photos by Randy S. Peregrino

UST weeks after the successful launch of the “I Love Isuzu” Campaign, Isuzu Philippines Corp. (IPC) recently kicked off the campaign’s dealership “Open House” series at the Isuzu Gencars Santa Rosa in Laguna. The main highlight during the event was the introduction of Isuzu’s latest addition to the DMax lineup—the Boondock Edition. With the increasing popularity of pickup trucks dressed in rugged form, the move to introduce the muscular-looking variant was Isuzu’s answer to the current trend. The D-Max Boondock Edition embodies that strong and rugged pickup ready to get dirty and take on any road punishments. Based on the best-selling 3.0 LS 4x2 model, the pickup received rugged elements to match the targeted vehicle profile. For starters, 17-inch black alloy rims wrapped in 265/70 R17 all-terrain tires were fitted for maximum traction whether on tarmac or dirt.

Further, suspension setup was reinforced by monotube nitrogencharged performance shock absorbers for faster damping reaction. This setup also guarantees instantaneous response to varying road conditions. Now with bigger tires and tuned dampers, ground clearance was increased to 247 mm. This gave the pickup 1,900 mm overall height perfect for the off-road look and muscular stance, which conveys that tough character ready to surpass anything that comes its way. As for additional rugged aesthetics, steel side steps were installed bearing the “Boondock” insignia. This also serves as added protection to the vehicle’s frame. Likewise, its honeycomb design also helps in

IPC Sales Division Head Joseph Bautista (from left), IPC Executive Vice President Shojiro Sakoda, IPC Vice President for Sales Yasuhiko Oyama and IPC Assistant Sales Division Head Hiroto Nakaguro presenting the newly launched D-Max Boondock Edition

no-fuss cleaning and provides better foot grip during ingress and egress. Moreover, roof rail, cargo extender, rocker panel, over fender and a massive Boondock decal at the tailgate were installed to complete the overall robust character. Under the hood is the everreliable 4JJ1-TCX 3.0-liter fourcylinder in-line with VGS turbocharger diesel engine with Blue Power technology. This Euro 4-compliant motor is capable of producing 175 hp at 3,600 rpm

and 380 N-m of maximum torque between 1,800 to 2,800 rpm. It is mated to an option of six-speed manual transmission with gearshift indicator or a six-speed automatic with sequential shift. Available in Cosmic Black and Galena Gray colors, the D-Max 3.0 4x2 LS MT Boondock Edition is priced at a very affordable P1.390 million while the D-Max 3.0 4x2 LS AT Boondock Edition is valued at just P1.455 million. Continued on E4

THE dealership “Open House” kicked off at Isuzu Gencars Santa Rosa in Laguna.

Moto

Business

E2 Friday, May 31, 2019

THE Phoenix Orange Pearl 1.2 Black Top RS CVT and Carnival Yellow 1.2 V CVT along the roads of Tuba.

THE Taffeta White 1.2 Black Top RS CVT and Rallye Red 1.2 V CVT at the La Union airport runway

1.2-LITER four-cylinder SOHC i-VTEC engine

THE updated Civic RS Turbo variant

oring

sMirror

Friday, May 31, 2019

NEW seats with center accent and red stitching

258 LITERS of cargo space

RS-INSPIRED cabin

Motoring BusinessMirror

E4 Friday, May 31, 2019

Tricycle drivers are but ‘fools on the hill’

GAIN, in the last elections, I traveled from Mangatarem, Pangasinan, to Calauag, Quezon.

That’s easily almost 450 kilometers. It’s been a ritual I do every election season. After casting my vote in my hometown Mangatarem, I drive to Calauag, my wife’s hometown, where she also votes. Again, I encountered many pasaway (stubborn) tricycle drivers on the highway, particularly between Alaminos, Laguna, and Calauag, Quezon. To keep my usual peace, I just dismissed them off as fools “on the hill,” a bunch of jerks stupidly unmindful of road courtesies and the proper use of our major arteries. Why they insist on occupying

the middle lane when it would be more safe and comfortable for them to use the right side of the highway baffles me no end. “They ought to attend a seminar on the proper use of roads before they are issued a driver’s license,” said writer-journalist Sol F. Juvida, my constant traveling companion. Every mayor and police chief of every town where these tricycle drivers stubbornly occupy the middle lanes ought to enforce the law. Aren’t tricycles banned from the national highways? But then again, the tricycle has

become a political issue for the longest time. Untouchable even by a 10-foot pole, the tricycle drivers can make or break every politician’s career. Several times I had honked my horn for them to move to the right. They refused. And, almost each time I would overtake them from the right side (the “suicide”), I get a dirty finger from the trike driver. Can the tricycle passenger not order the trike driver to use the right, widened side, of the highway? I have yet to see a mayor, and even a cop, accost a tricycle driver plying the national highway that is Maharlika. If law enforcers won’t do it, who will? Or do we need Digong to do it himself?

Toyota novelty

TOYOTA owners can now receive lucrative gift checks for convincing friends to buy a Vios. For every successful referral, Toyota Motor Philippines (TMP) will award P8,000 worth of gift certificates. What a novelty. “If you have purchased any

brand-new Toyota vehicle and you know someone whom you think deserves to enjoy the great value and quality of a Toyota Vios, this program is for you,” said Cristina Arevalo, TMP’s first vice president for Brand and Product Planning. “Convincers” may go to any of Toyota’s 69 dealerships nationwide and register the name of the prospective Vios customer. They may also contact Toyota’s Customer Assistance Center at customerassistance@toyota.com.ph or (02) 819-2912. But referrers of fleet accounts or vehicles to be bought by a company or a government institution are not qualified to join the program. For every Toyota Vios sale, the referrer gets P5,000 worth of gift certificate upon release of the unit, plus another P3,000 worth of GC if the transaction is made through Toyota Financial Services (TFS) financing. Successful referrers will be notified via e-mail or SMS. Gift certificates will be delivered via courier once the unit has been released. “There is no limit to the number of referrals,” said Arevalo, adding that the promo is until July 31, 2019.

BETTER VISIBILITY WITH PIAA B

ACKED up with research and development gained from motorsports campaigns such as being the official lighting system of Team Mitsubishi Ralliart; Team ADVAN-Tein Subaru, Nakajima-Epson Racing and a domineering presence in the Paris-Dakar, World Rally Championship (WRC) and Japan Super GT, PIAA upholds the knowledge gained by combining market-driven concepts with the latest technology to make night, inclement weather and offroad driving as safe as possible. PIAA technicians continually raise the bar on visibility products, whose lamps take their styling and lighting performance

cues from the popular PIAA 1100x lamps, which have been a staple of the PIAA lineup for years. The Hyper Arros all-weather LED light bulb on the other hand has a color temperature of 4000k, and emits a neutral white-colored beam. Unlike the typical halogen light bulb that runs hot that tends to damage your headlamps, the Hyper Arros has a higher and cooler beam output with less power consumption. “It is also ideal for classic cars or vintage vehicles without changing the retro feel and blast of the beam,” adds Augusto Pelaez, a car enthusiast and collector. The Hyper Arros all-weather LED bulb

is available in a variety of sizes with fitments for H4, HB3, HB4, HIR1, HIR2, H8, H9, H11, H16 and H7 PIAA has always been committed to providing quality products that drive customer satisfaction with their line of LED headlights and fog lamps. A special beam “cutline” is what differentiates PIAA technology from the competition. The beam of light is clear; and a directional frontal burst is engineered to not inconvenience oncoming motorists. Illuminate your driving lifestyle with PIAA at popular dealers nationwide.

Visit www.toyota.com.ph for more details.

Roadtrek speech

HERE is the speech of TMP President Satoru Suzuki during the recent, doubly memorable, Toyota Roadtrek in Palawan: “Thank you for being with us tonight on this special gathering that we have prepared for our special friends from the media. “For almost two decades now, the Toyota Roadtrek tradition has always been a symbol of our enduring friendship that goes beyond business. I first said this in Balesin last year, and the challenging times we faced together only made our ties stronger. “Rain or shine, TMP is ever grateful for the support we receive from the press. The first quarter of 2019 looks very favorable, as we successfully launched the full model change of RAV 4 and held the Philippines’s first World Premiere for the Hiace with your help. We hope that the New Toyota Avanza will receive the same level of enthusiasm from our media friends. “Before we proceed to the muchawaited awarding ceremony, I would like to congratulate everyone

for their genuine display of friendly competition. The games and challenges of Roadtrek are a test of character, and I am very happy to see the best of motoring journalists play it out together with grace. “To our esteemed guests, the night is far from over. Let us enjoy the beautiful island of Apulit with everything it has to offer, and along the way create wonderful memories. “Are you ready to find out who reigned supreme in this year’s Toyota Roadtrek? Ladies and gentlemen, let the Awards Night begin!” Thank you, Suzuki-san, for maintaining your habit of joining us at every opportunity. Always, your presence flatters us no end. PEE STOP I’m thrilled this early in anticipation of the twin launch of the All-New BMW 3 series and the All-New BMW Z4 model next month. Spencer Yu, the president of SMC Asia Car Distributors Corp., has sounded me off about it way too early. “Please join us again, SP?” said Spencer, who virtually cut his motoring teeth while still with Lexus Manila under the wings of then- Lexus President Dan “Sir John” Isla. Sure, I’ll be there, Spencer. Cheers!

Isuzu unveils D-Max Boondock Edition Continued from E1

‘I Love Isuzu’ campaign dealership ‘Open House’

The Open House concept of the campaign kicked off at the Isuzu Gencars dealership in Santa Rosa, Laguna. The festivities started early with a motorcade consisting of 24 Isuzu vehicles which commenced at the Shell station in Biñan going back to the dealership. Likewise, members of the D-Max Club from both Team Isuzu Pilipinas and Team Isuzu Car Enthusiast attended the event to show their support for the brand. The recently concluded Open House event in Isuzu Gencars Santa Rosa dealership made its

vehicle roster and aftermarket services closer to the customers and potential buyers by way of fun and engaging activities, contests and promotions, including the launch of the DMax Boondock Edition. Upcoming Isuzu dealership Open House and schedule will be at Quezon Avenue (June 8), Manila (June 22), Bulacan (June 29) and Pagbilao (July 6). Similarly, there will be exclusive promo, special discounts, PMS service, product display, parts/ service packages and even free test drives. Shell Pilipinas is the official fuel partner of I Love Isuzu campaign. www.isuzuphil.com

CleanFuel/Motul shines in Formula V1

ORMULA V1, the country’s emerging premier discipline in local motorsports, recently staged its first leg at the Batangas Racing Circuit with a total of 17 V1 cars and veteran drivers vying for precious championship points. Among the top teams on the grid competing this season is Formula V1 Team Champion CleanFuel/Motul-Autoplus racing team. With Formula V1 champion Luis Gono sidelined this year due to educational duties, the team fielded actor Dominic

Roque in the amateur class and veteran racer Ryo Yamada from Japan to run in the Pro Class category. With his experience and driving skills, Yamada was able to clinch the first race, successfully fending off other competitive drivers along the grid. The feisty Japanese driver replicated his success during race two, despite starting the race fourth from the grid. “It was a tough race, and the Filipinos were no pushovers,” stated Yamada. He had nothing but praises for the highly

technical race track. “This is a good track with a lot of tight turns and fast straights,” added Yamada. The only incident that saddened the international racer was an unfortunate skirmish with a rival team during the third race. Despite this experience, Yamada and Team Cleanfuel-Motul/Autoplus will soldier on. “I will just make this unfortunate incident a positive experience and learn from it,” said Yamada.

GOVERNMENT SERVICE INSURANCE SYSTEM A BusinessMirror Special Feature

Friday, May 31, 2019 F1

GSIS @ 82: SERBISYONG GSIS, SERBISYONG PANALO

SA GFAL, GAGAAN ANG BUHAY

N celebrating its 82nd anniversary, the Government Service Insurance System (GSIS) shines its light on its centerpiece program which aims to raise the quality of life of its members–the GSIS Financial Assistance Loan (GFAL).

GFAL has been making its mark as the pension fund’s strategy to help address the members’ perennial problem of overborrowing that results to reduced GSIS benefits stemming from unpaid loans. Initially, GFAL reached out to the teaching and nonteaching personnel of the Department of Education, the sector that constitutes more than half of GSIS’s membership. It has now been extended to the rest of GSIS members. A teacher who benefited from GFAL tells her story below and recounts how the program has greatly improved her life. Doting mother to three children and wife of a modest jeepney driver from Mataas na Kahoy, Batangas, high school

teacher Mrs. Ana Lee Mendoza understands the importance of family and financial freedom. Like millions of ordinary Filipinos with mouths to feed and young minds to nurture, the Mendoza family makes extraordinary struggles to make ends meet. While Mrs. Mendoza loves her profession as much as she loves her family, she admits that her income as an educator in Bayorbor National High School is barely enough to cover her family’s expenses. Since they also live with and take care of her in-laws, the couple knew that they had to double their efforts to ensure that their day-to-day expenses are met. “Tulungan kami’ng mag-asawa. Ginawa naming pampasaherong

Mrs. Ana Lee Mendoza, GSIS member since 2007, takes pride in teaching Technology and Livelihood Education (TLE) at Bayorbor National High School, in Mataas na Kahoy, Batangas

dyip ang aming sasakyan noong 2015. Nakakatulong ang kinikita niya sa pamamasada para tustusan ang aming mga pangangailangan,” she shared in an interview. Sadly, their combined income was not enough to prepare them for the

emergency that came. It was when their eldest daughter was diagnosed with a life-long and rare condition called aplastic anemia in 2017 that Mrs. Mendoza decided to take out loans from private lending institutions

(PLIs) to pay for continual therapy and medication. The undeducted obligations as well as expenses for their daughter’s repeated blood transfusions, vitamins, and other medicines, would go on to plague

the family, but Mrs. Mendoza’s determination to erase her cycle of debt remained. When she learned about the GSIS Financial Assistance Loan (GFAL) online, she knew in a heartbeat that their lives were going to change. As soon as the loan was granted in November last year, things started to look up for her and her family. “Ginamit ko ang pagkakataong ito upang mabura na ang undeducted obligations sa aking pay slip…Mabilis pinroseso ang aking application. Naramdaman ko na agad na lumaki ang income ko,” she said. According to her, the free financial literacy program reminded her on the importance of spending within her means and saving funds for emergencies. Asked what’s next for the Mendoza family, she enthused that they intend to upgrade their alternative source of income and complete their property investment. She furthered, “Masarap sa pakiramdam yung wala kang inaalala. Ngayon, naisasali na namin ang aming pangalawang anak sa inter-school karate competitions. Nakakapag-travel na rin kami bilang pamilya na hindi namin dati nagagawa…Sa GFAL, gagaan ang buhay.”

GOVERNMEN INSURANCE F2

A BusinessMirr

Friday, May 31, 2019 | Project Manager: Czarina Blancaflor

GSIS @ 82: SERBISYONG GS What you need to know about GFAL

1.What is GFAL? The GSIS Financial Assistance Loan

is a program being implemented by GSIS to help its members improve their financial standing. GFAL is a debt-consolidation and balance-transfer facility

that enables GSIS members to settle their outstanding loan balance with lending institutions, such as those privately run, as well as government banks and

government cooperatives at reduced interest rate and longer payment term. 2.How will I know if I am qualified to apply for GFAL?

You are qualified to apply for GFAL if you are a permanent government employee and active GSIS member who: a. has outstanding loan with the lending institutions; b. has no due and demandable loan account with GSIS; c. has paid premiums of at least three years; d. is not on leave without pay; e. has net take-home pay of not lower than Php5,000.00 after deduction of monthly obligations; and f. has no pending administrative or criminal case. 3.How much is the maximum GFAL loan amount that I can apply for? You may apply for a maximum loan amount of Php500,000.00. 4. A PLI has filed a case against me for nonpayment of obligations. Am I still qualified for GFAL? If a PLI has filed a case against you for nonpayment of obligations after GSIS loan payments have been prioritized (by virtue of DO Nos. 38 and 55 for DepEd personnel or related agency-issuances for other government employees in compliance to the provisions of the General Appropriations Act), you are still qualified to apply for GFAL. 5. What is the interest rate and payment term for GFAL? The interest rate is 6 percent per annum computed in advance. The loan is automatically deductible from your salary and payable in 72 equal monthly instalments or 6 years. 6. Does GSIS collect service fees for GFAL? No, GSIS does not charge service fees for this particular program. 7. I have other loan arrears. Will these be deducted from the proceeds of GFAL? The arrears incurred from your other loans will not be deducted from the

proceeds of GFAL. 8. If I have an in-default loan (that has not been paid for more than six months), how can I apply for GFAL? You may opt to have your in-default loan restructured through the Consolidated Loan (Consoloan) Plus program. You may qualify for GFAL once the in-default loan is no longer reflected in your records. 9. What is the basis in computing my loan amount in GFAL? What if I have outstanding loans with multiple private lenders? Your loan amount is computed based on the final statement of account (SOA) that is submitted along with other GFAL application documents. You cannot apply for an amount that exceeds the total obligation indicated in the SOA. If you have two or more loans from private lenders, your loans based on the submitted SOAs will be consolidated. 10. What are the documentary requirements that I need to submit? You must submit the following: a. Duly accomplished GFAL application form signed by the Agency Authorized Officer (AAO); b. SOA following the format issued by GSIS, with a clear photocopy of ID of the authorized representative of the lending institution who will claim the check from GSIS. The contact number of the representative must also be stated in the SOA. c. Borrower loan agreement, loan voucher, or other certified documents that show the term, interest rate, monthly amortization, and due date of the first loan amortization. d. Borrowerâ€™s pay slips for the past three months from the start of application. The pay slip must be certified by the AAO. Only applications with complete documents will be processed. 11. How can I apply for GFAL?

NT SERVICE E SYSTEM

ror Special Feature

www.businessmirror.com.ph | Friday, May 31, 2019

SIS, SERBISYONG PANALO You should follow the six-step guide: • Step 1: Accomplish the application form and SOA completely and correctly. • Step 2: Complete all documentary requirements. • Step 3: File the application at the nearest GSIS office. Once done, the applicant will be given an endorsement slip to attend the Financial Literacy Seminar from the GSIS office. • Step 4: Attend the financial literacy seminar at the GSIS office. • Step 5: Proceed with the loan evaluation and counselling session. • Step 6: Sign all loan documents. The form will be given after evaluation and counselling. 12. Am I required to attend the GSIS financial literacy seminar for GFAL? Will my attendance to another company’s

financial literacy seminar suffice? Yes, GSIS requires you to attend its financial literacy seminar as a prerequisite for loan evaluation and counselling on GFAL. Financial literacy seminars conducted by other companies will not be considered a valid compliance to GFAL requirements. GSIS designed its financial literacy seminar specifically for its attendees to help them better understand GFAL. For questions on GFAL, visit the nearest GSIS Office or call the GSIS Contact Center: • Landline (Metro Manila): 847-4747 • Globe Toll Free Number: 1-800-8-8474747 (free from both Globe landline and mobile phone) • PLDT/Smart Toll Free Number: 1-800-10-8474747 (free from PLDT landline: a flat rate of P8.00/per call from mobile phone)

F4 Friday, May 31, 2019

Honda continues to engineer Filipino productivity with its power products

THAI FLAVORS LAND AT MARCO POLO ORTIGAS

OINING men and women who continue to work for their families and loved ones, Honda power products have managed to usher in a line of tools to bring in a sustainable ecosystem of power engines. Engineered to reinforce Filipino productivity, the power engines that Honda has introduced to the market bring in new possibilities for agriculture, fishery and construction, as the brand remains unrelenting in its goal to put the Filipino worker at the forefront of an environment where those with diligent hands can thrive in. For agriculture, Honda has brought in the all-new Honda Brush Cutter UMK450T toward greener pastures. Building on the successful launch of line of brush cutters that have come before, the UMK450T boasts of the GX50T engine to power efficient nylon blades that are built to stay tough even against hard and heavy usage, enabling farmers to be able to manage their fields better. Fuel efficiency will always remain as key toward better productivity and the UMK450T certainly does not disappoint, with only a fuel consumption rate of 0.86L/H, compared to its

competitors that stand at a rate of 1.59-1.66L/H. And now with a comfortable belt strap that comes in both single and double variations to cater to everyone’s preferences, this new brush cutter is certainly a welcome addition to Honda’s line of power tools. Sailing toward new conquests, Honda continues to outfit fishermen with more than capable engines, namely, the GX390T2 LBHB, the GX200T2 QBHB and the GP200 QH1, to let them prosper in their journey toward worthwhile shores. And since the brand has also already proven its mettle across the seas, Honda remains focused in accomplishing even more milestones with the aid of those willing to conquer strong tides and uncharted shores for their families. New to the Honda power products, the brand brings in Honda GX270T2 QC3, as the new power engine still offer the same level of reliability, durability and fuel-efficiency of its counterparts in the GX engine line, a family of GX engines that include GX390T2 QC2 and GX160T2 QC2. Concrete cutting and plate compacting remain as the primary responsibilities of this line of GX engines, as these products

run and power machinery for construction functions that include compactors, tamping rammers, vibratory rollers, concrete cutters, power trowels, concrete vibrators and road screeds, with each given the capability to bolster a strong foundation of tomorrow, in which these power tools continue to pave the path for. Honda power products, through these power equipments made to boost the productivity of Filipinos, will continue to be the standard in world-class performance and efficiency, as the brand pushes on in its mission to build a world structured to empower Filipinos to accomplish bigger things for the benefit of the people they love. Enriching people’s lives with power tools that everyone can depend on, Honda aims to be the standard bearer for the Filipino worker in realizing their dreams to fruition. Together with the help of engines that can power people’s futures, they can rest easy knowing that they will always be outfitted with superior equipment designed to help industrious hands to thrive. Be it on agriculture, marine or the construction industry, Honda will remain at the forefront of Filipino ingenuity.

XPERIENCE an Asian burst of intense flavors and alluring aromas with every authentic Thai dish by guest chef Nontra-Udon Buapha, at Marco Polo Ortigas Manila. With almost 40 years of culinary experience, guest chef from Prince Hotel Hong Kong and Thailand native, chef Nontra-Udon Buapha has been well known for his authentic specialties and friendly character. “People living in Thailand love to use local natural spices to create colorful, aromatic and scrumptious Thai delicacies,” Chef Buapha says. T he chef demonstrates this passion for Thai spices and sauces in his mouthwatering signature dishes. From June 4 to 23 Chef Buapha is br inging f lavor ful Thailand to Marco Polo Ortigas Manila’s Cucina with e c c e nt r i c d i s h e s . E xot ic a rom a s of Thai beef and seafood salad, steamed fish, m i nce d p or k a nd c rab -ye l low c u r r y will fill the halls of Cucina for lunch and dinner. Staple Pad Thai will also take the center stage with

spices to dance in everyone’s palate. Make each sip of favorite drinks a trip to amazing Thailand with Chef Buapha’s impressive Thai snack platter, featuring fish cake, shrimp cake, spring roll and chicken with pandan leaf, at Vu’s Sky bar and lounge. Café Pronto is showcasing its Thai chicken wrap, while special cocktails will be served at the Connect Lounge. For more information, e-mail at restaurant.mnl@ marcopolohotels.com. Log on to www.marcopolohotels. com for more details on the hotel’s ongoing promotions.